I Was Hired, Then Unhired
Hi everyone,
I live in Texas, and I was contacted by a company in Kansas needing a financial controller. There current controller was leaving because his family didn't like (hated) Kansas. I wasn't really interested, but they said they were really interested in talking to me.
So my wife and I traveled up there and I interviewed with them. It was actually quite interesting and a few days later they called me and offered me the job at a very good salary, which I accepted the next day after discussing it with my wife.
I then gave my two weeks notice at my current job, and also at a side job where I receive an extra $700 a month.
Two weeks before I was to start, my wife and I traveled back up there on a Saturday to get an idea about living arrangements. While we were there, we met with the general manager and he drove us around town showing us the highlights.
Everything was on schedule until that Friday, just over a week before I was to start the new job. The general manager called me and told me that the guy who was the current controller changed his mind for some reason and decided to stay on. He apologized, but said he felt like he needed to stay with current guy because he had been such an asset to the company.
The rug was yanked out from under me. I had already given notice at my current job. They were in the process of hiring. At the moment, I am staying, but things are a bit different and seem strained. Also, the side job I had was given to someone else, so I am out $700 a month. And my family has been turned upside down this "almost" move.
Do I have any legal recourse for them breaking a verbal employment agreement? Are they responsible for living up to any part of the agreement, or for any damage they caused?
I would be grateful for your expertise.
texzap
Re: I Was Hired - Then Unhired...
About the only thing I can suggest is that you inquire of an employment attorney whether you have a claim for detrimental reliance.
Re: I Was Hired, Then Unhired
I agree. Kansas recognizes detrimental reliance in regard to employment.
Re: I Was Hired, Then Unhired
As cbg and Betty point out, it may be worth your while to consult an employment law attorney.
Here is a KS case I found online concerning detrimental reliance or promissory estoppel. Although it is a US 10th circuit opinion, it was a state court case and was Petitioned for removal to federal court, and granted, so don't let that confuse you.
In part:
A.
Plaintiff argues that the district court erred by granting judgment as a matter of law on her promissory estoppel claim. At the close of Plaintiff's case, Defendant moved for judgment as a matter of law, arguing that Plaintiff had not presented any evidence of detrimental reliance damages under Kansas law. In order to recover under a theory of promissory estoppel, Plaintiff must establish that (1) Defendant intended or should have known that Plaintiff would act to her detriment in reliance upon Defendant's promise of continued employment, and (2) Plaintiff did indeed rely on that promise to her detriment. See Patrons Mutual Ins. Ass'n v. Union Gas System, Inc., 830 P.2d 35, 39 (Kan. 1992).
http://ca10.washburnlaw.edu/cases/1998/12/97-3255.htm
Re: I Was Hired, Then Unhired
Thanks for the responses.
I never heard of detrimental reliance before, but I will check into it.
Re: I Was Hired, Then Unhired
Here is some add'l. info on detrimental reliance for you:
You are the Director of Human Resources for a company. On behalf of the company, and after several rounds of interviews, you offer a job to a prospective employee, with a start date two months away. The employee accepts. Soon thereafter, the company changes its mind, either because it finds a better candidate or because the company hits some hard times and no longer needs the prospective employee’s services. Can you rescind the offer without any consequences? Probably not.
Where an employer hires a prospective employee and then rescinds that offer after the prospective employee has taken steps in reliance upon that offer, the employer may be legally responsible to pay damages to the employee. This apparent loophole in the employment at will doctrine may have significant implications as the economy continues to show signs of a deepening recession and employers are forced to find ways to cut the bottom line.
The legal theory that supports the prospective employee’s claim is called “detrimental reliance.” Pared to its core, the detrimental reliance theory permits a person to file suit for a “broken promise” in certain circumstances. Under this theory, an injured party can assert a claim where (1) a promise was “clear and definite;” (2) it was made with the expectation that the promisee would rely upon it; (3) the promisee relies upon the promise; and (4) the promisee is injured as a result. The detrimental reliance theory is not limited to the employment context, and has been invoked in a wide array of settings, typically when the necessary elements for a binding contract do not exist.
Re: I Was Hired, Then Unhired
To add to what Betty has posted, a consultation with an attorney is legally prudent. Employment hirings are rescinded all of the time and do not trigger DR.
Damages have to me more than general in nature, which yours appear to be?
There is no magic figure for damages, but... this is why you need to pose your facts to an attorney for a case evaluation under KS law!
Good luck!!