California employment case index

A unanimous Supreme Court holds that a signed offer letter stating employment is "at will" and terminable "at any time" is unambiguous — recruitment talk of a "long-term fix" cannot create an implied for-cause contract or support fraud reliance — with Justice Baxter (joined by Corrigan) urging reconsideration of Pacific Gas and Justice Moreno reserving "upon notice" clauses.

Three different doctrines collide in public-sector termination cases, and collapsing them is the most expensive mistake in this corner of California employment law. Exhaustion of administrative remedies is a prerequisite to suing at all. Exhaustion of judicial remedies is the separate Westlake requirement that an employee who has already lost before a personnel board overturn that decision by administrative mandamus under Code of Civil Procedure section 1094.5 before suing on the same facts. And collateral estoppel is what happens if the employee does not: the agency's findings become final and bind. Johnson v. City of Loma Linda extended the rule to FEHA while holding it inapplicable to Title VII, Page applied it on demurrer, and Skelly supplies the due-process floor the agency hearing must meet. This analysis keeps the three apart, states what each anchor actually held and how it was disposed of, and sets out the sequencing obligation a practitioner owes a public-employee client at intake.

Guz v. Bechtel National, Inc.The at-will presumption can be overcome by an implied-in-fact contract to discharge only for good cause, judged on the totality of the relationship — but the implied covenant of good faith and fair dealing cannot impose substantive limits beyond the agreement’s actual terms, and a FEHA discrimination claim must survive the […]

The Tameny claim failed because Foley’s report about a coworker served the employer’s private interest, not a fundamental public policy. Foley nonetheless adequately pleaded an implied-in-fact contract to discharge only for good cause — based on longevity of service, promotions, raises, assurances, and the employer’s…

Yes. The longevity of Pugh’s service, together with the employer’s commendations and assurances and its acknowledged practices, supported an implied-in-fact promise that he would not be discharged except for good cause; the nonsuit was therefore error and the judgment was reversed (id. at p. 330).