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A Written Employment Contract and Termination

By Lane V. Erickson, Attorney

Scene from the movie Atlantis: The Lost Empire

HELGA: You said we were in this together! You promised me a percentage!

COMMANDER ROURKE:  Next time, get it in writing.

The terms of an employment contract must be considered any time either the employer or the employee wants to take certain action. Written employment contracts are most often found in the realm of professional work. Some examples are in the legal and medical professions. Like any other contract, the Employment Contract contains written terms that describe the agreement between the employee and the employer. The basic terms for an employment contract are: (1) how long the employment relationship will exist; (2) the salary or wage of the employee; (3) the work that is expected to be performed and (4) the right to terminate by either the employee or the employer.

Most often a written employment contract is prepared by the employer and will contain an escape hatch or two in favor of the employee when it comes to termination. For instance, it is common for an employer to indicate that it has the right to terminate the employment contract upon 10 or 30 or 60 days written notice. This allows the employer to terminate the relationship legally, without breaching the employment contract. In the instance where an employment contract exists with a specific written notice termination clause, the employer can simply provide the required written notice and terminate the employee.

Additionally, often in written employment contracts, the employer will also have a termination clause that allows termination “for cause.” When this exists, the employer may have the right to terminate the employee for any misconduct. However, this sometimes results in a dispute of whether the misconduct is of such a nature to trigger the “for cause” right of termination. The controlling language will be the contract’s definition of what “for cause” means. The best employment contracts will provide some examples, but will also include the language “including but not limited to” and “which is at all times left to the employer’s discretion.”

If you are an employer or an employee with a written employment contract with questions about termination, we can help. Call us toll free at 877-232-6101 or 208-232-6101 for a consultation with Lane Erickson and the Racine Olson team of Employment Law attorneys in Idaho. You can also email Lane Erickson directly at lve@racinelaw.net. We will answer your Idaho Employment Law questions and will help you solve your Idaho Employment Law problems.

This website includes general information about legal issues and developments in the law. Such materials are for informational purposes only and may not reflect the most current legal developments. These informational materials are not intended, and must not be taken, as legal advice on any particular set of facts or circumstances. You need to contact a lawyer for advice on specific legal issues.

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