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Termination, pending criminal charges, 2 years unpaid suspension, verbal agreement breached

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trex74

Member
What is the name of your state? I had a terrific career up until an accusation was made against me outside of work. I have a complicated employment dispute and need some assistance determining if my termination is grounds for a wrongful termination lawsuit. I have secured an employment attorney and it seems as though I do have a case however it's complicated and will require significant effort. In a nutshell, my employer is in Missouri and I am familiar with at-will employment. Pending the resolution of a non-work-related criminal case, I was placed on unpaid suspension. An agreement was made by my employer contingent on the resolution of my case. My employer broke their contract/agreement and terminated me after two years.

Approximately three years ago I was wrongly accused of a crime, the accusation resulted in criminal charges against me. My Employer had no prior experience with this type of circumstance where accusations outside of work lead to criminal charges. My employer is a privately owned company with approximately 5,000 employees across the united states and abroad. My employer became aware of the criminal charges when my name and arrest were published in a local mom and pop newspaper. An employee recognized my name and made the decision to forward the article to our HR department. On that morning I asked my boss and his boss to meet me at the office to inform them of the unfortunate news regarding being charged wrongfully. As expected, they were in support of me and vowed to protect me and secure my job. Unfortunately, they had no time to go on the offense because as we were meeting security interrupted and asked that my boss and I follow him to the HR Department.

In HR we met with an HR director who explained that someone sent a news article about charges being placed against me. I did my best to explain what lead to the charges and assured them that these were accusations that were uncorroborated and factually false. HR explained that this was something they had never dealt with and would need to investigate to decide how to proceed. They told me they could offer me a severance if I had any desire to part ways. My response was Absolutely Not, I did nothing wrong and would not even consider a severance, it was offensive. Next, I was told that I was going to be placed on unpaid suspension until they conclude their so-called investigation. They would decide my fate following the investigation.

After about one and a half weeks I received a call, they had decided and asked that I attend a conference call with the HR Director and my direct manager. This is what they decided. They made a verbal agreement which was contingent on the resolution of my criminal case. Upon a favorable dissolution of my criminal case, they agreed to the following.

  1. Employment would continue but as inactive and under unpaid suspension
  2. Healthcare benefits would continue for six-months at the employee rate.
  3. Upon resolution of my criminal case, they would provide six months of salary
  4. Upon resolution of my criminal case, they would reinstate my employment to active and I would return to full-time employment
This was the decision and agreement made by HR and in Witness of my acting manager. Although my manager has since left the company, he has confirmed that this was the agreement and he is a witness.
After our meeting, I remained in contact with the HR director informing him of my ongoing progress with the criminal case. I repeatedly asked if they would provide me with something in writing stating the details of our agreement. They responded by saying they were not prepared to place what we agreed to in writing.

Over the course of the next couple of years, I contacted HR, Company Owner/CEO, VP HR, and asked if they would reconsider my suspension as wanted to work. I offered options and suggestions and explained the hardships I have experienced as a result of not having an income, but as well the difficulties finding employment with pending charges. They all responded by telling me that until there is a resolution in my criminal case there is nothing they can do at this time.

About a month and a half ago I sent another email to HR. I provided an update that things were looking positive as expected with my case and we were nearing the finish line. I explained that the case was on hold due to the pandemic but would be resolved once the courts open. A few days after I received an email from the HR director telling me that it has been two years and they decided to terminate my employment. They told me if I signed a severance agreement, I would get four weeks of salary. I responded by reminding them of the agreement they made with me. I asked them about the six months of salary promised upon resolution. They responded by saying the agreement was never intended to be open-ended therefore they would not be providing me with the six months of salary. Again, I reminded him of the terms and conditions they decided on and that the agreement was until resolution of my criminal case. They continued to press me to sign the severance agreement, even having the nerve to say we are trying to help you by offering you four weeks of pay. Ultimately, I did not sign the severance agreement and made it clear that they violated their agreement and felt it was unethical. I reminded them that they had a choice and could have handled these countless other ways. They made an agreement with me and a verbal contract. Their decision to make a verbal contract makes at-will employment no longer applicable. Therefore, I feel as if I have a valid argument and legal recourse. I would appreciate feedback and opinions. I have secured legal representation but would like to know if I have a legitimate case.

Thank You
TREX74
 


PayrollHRGuy

Senior Member
@trex74

Since you have obtained legal counsel on the matter why are you not asking that lawyer these questions? They certainly know more about your situation than we ever will.

That said I'd suggest you find your employee handbook and look for wording somewhere in there that says something regarding verbal agreements and agreements that aren't in writing.

Every employee handbook I approve has such wording just so field managers and HR people can't talk the company into a contract.

ETA: Has your criminal case ended?
 

trex74

Member
Thanks for your response. I'm in the beginning stages of this whole process. My intent was to find collateral information to help understand and assist my case. Unfortunately, the pandemic happened at the time when my defense attorneys were making progress and nearing resolution. Therefore I'm at the mercy of the courts, as of now, the court is not moving forward with criminal hearings. It's been a tough going, my family and I have been through hell the last three years and my hands are tied.
 

Zigner

Senior Member, Non-Attorney
What you outlined doesn't even sound like something that would rise to the level of a "contract".
But, as was pointed out, talk to your attorney.
 

trex74

Member
What you outlined doesn't even sound like something that would rise to the level of a "contract".
But, as was pointed out, talk to your attorney.
A verbal agreement is a binding contract. I was fuzzy on this as well however I am told that a contract is promise or agreement either verbally or written.
 

Zigner

Senior Member, Non-Attorney
A verbal agreement is a binding contract. I was fuzzy on this as well however I am told that a contract is promise or agreement either verbally or written.
Not if the "agreement" fails to meet the requirements of a contract.

Let's say that I like you, so I tell you that I plan to give you $100 per week for 4 weeks and ask if that is a good plan. You agree that it is an excellent plan.
Do you think that's an enforceable contract? (Hint: It's not.)

In your case, there is a major missing element that causes this "agreement" (a "promise", really) to not meet all the elements of a contract. Namely, what did YOU give up in return? Don't say your job, because that was already gone.


EDIT: To be perfectly clear: A "promise" is not an enforceable contract.
 

Taxing Matters

Overtaxed Member
That said I'd suggest you find your employee handbook and look for wording somewhere in there that says something regarding verbal agreements and agreements that aren't in writing.

Every employee handbook I approve has such wording just so field managers and HR people can't talk the company into a contract.
Self serving and largely ineffective language assuming, as is usually the case, the employee handbook is itself not a contract with the employees. ;)
 

PayrollHRGuy

Senior Member
Self serving and largely ineffective language assuming, as is usually the case, the employee handbook is itself not a contract with the employees. ;)
While totally self-serving I've watched that language hold up in court twice when something much, but not near as encompassing hold up in court twice with my client employers.
 

Taxing Matters

Overtaxed Member
After about one and a half weeks I received a call, they had decided and asked that I attend a conference call with the HR Director and my direct manager. This is what they decided. They made a verbal agreement which was contingent on the resolution of my criminal case. Upon a favorable dissolution of my criminal case, they agreed to the following.

  1. Employment would continue but as inactive and under unpaid suspension
  2. Healthcare benefits would continue for six-months at the employee rate.
  3. Upon resolution of my criminal case, they would provide six months of salary
  4. Upon resolution of my criminal case, they would reinstate my employment to active and I would return to full-time employment
But what you describe is not a contract. Contracts are agreements between two parties supported by mutual consideration. The element of mutual consideration is very important here, and while the company made promises to you as listed above, I see nothing in that agreement that says what you are going to give the company in return. If you did not agree to give the company something in exchange for what it was going to do for you then you have no contract.
 

Taxing Matters

Overtaxed Member
While totally self-serving I've watched that language hold up in court twice when something much, but not near as encompassing hold up in court twice with my client employers.
The court may have taken that into account as evidence of the authority of the management to enter into contracts, but that's all the value it would have. Since it is not a contract with the employee it would not bind the employee at all.
 

PayrollHRGuy

Senior Member
I don't remember what was said at one of the two but in the second at a preliminary hearing to get the case dismissed the judge stated to the claimant based on the wording in the handbook and the handbook receipt that he signed that no contract could be made that wasn't in writing and signed by authorized officers. He then dismissed the case.
 

Taxing Matters

Overtaxed Member
I don't remember what was said at one of the two but in the second at a preliminary hearing to get the case dismissed the judge stated to the claimant based on the wording in the handbook and the handbook receipt that he signed that no contract could be made that wasn't in writing and signed by authorized officers. He then dismissed the case.
Which reflects that the value of it was as evidence of what authority the managers had — and that the employee was informed of that authority. But even with that, it is possible with other evidence to overcome that sort of thing. It just depends on the circumstances you have.
 

PayrollHRGuy

Senior Member
Which reflects that the value of it was as evidence of what authority the managers had — and that the employee was informed of that authority. But even with that, it is possible with other evidence to overcome that sort of thing. It just depends on the circumstances you have.
But it is certainly better than not having it in there.
 

Taxing Matters

Overtaxed Member
But it is certainly better than not having it in there.
I agree. It doesn't hurt to have it there, and in reviewing drafts of employee manuals I'd recommend that be included. But management should not overly rely on it and get careless with the sorts of agreements it offers to employees. I've seen employees prove contracts despite such language in company employee handbooks. It is much, much better for management to avoid even offering verbal agreements in the first place if the company does not want to be bound by them.

Of course, for the OP it appears that it wouldn't matter anyway as I'm not seeing the mutual consideration needed for a contract to begin with.
 

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