Chapter 18 The Contract of Employment
Difference between Independent Contractor and an Employee
A employer and employee relationship is established by a contract
that gives one party the employer authority to direct and control the
work of the other party
Independent contractor undertakes to do a specified task such as
building a house; the contract between the parties does not create an
employee-employee relationship because the contractor is not subject
to the supervision of the person engaging him. His job is to produce a
specific result but the means he employs are his own affair.
Termination Without Cause
Notice of termination involves telling an employee in advance that the
employment relationship will end
Fixed Term: no notice is required on the part of either party; a
student expects summer employment to terminate on the Friday
before Labor Day.
Reasonable Notice: in the absence of an expressed term about
termination in a contract the rule is that a reasonable notice shall be
given. Sometimes a court will determine the length of a reasonable
notice from evidence of an established customary practice. If one is
not present then key considerations are the length and nature of
employment, the age of the employee and the availability of similar
employment give the educational and experiential background.
Payment in Lieu of Notice: if an employer dismisses an employee
without notice, it may satisfy its obligations to give a reasonable
notice if it tenders an additional amount of pay for a period equal to
the time required for reasonable notice.
If a employee leaves voluntarily the company can sue for breach of
An employee can justify leaving if he can show that he was oblige to
work under dangerous conditions
Grounds for Dismissal Without Notice
The Contractual Basis
Dismissal without notice or further obligation by the employer when