Patrick Lane had worked as a salesman for Carson Group Inc. for 25 years; he had a territory covering all of the Atlantic Provinces (PEI, New Brunswick, Nova Scotia & NFLD). Some adjustments had been made over the years, but all with consultation and his consent.

In 2000, a new sales manager first refused to pay for Mr. Lanes travel expenses that had been paid in the past and then reduced his assigned territory substantially by assigning Newfoundland and Cape Breton to another salesperson. That represented 25 to 30 percent of his income.

In response to these actions by the new sales manager, Mr. Lane resigned. He then brought this action for wrongful dismissal. Patricks original employment contract provided that he would be entitled to only 2 weeks notice upon termination. During the interim period up to the conclusion of the court proceedings, Mr. Lane made every effort to seek alternative employment without any luck.

1. What is the legal defense you would submit on behalf of the defendant if any?

2. What would the courts likely decide and why?