Saturday, 20 January 2007
Can lauren recieve any money for damages? -
Paige Turner hired Lauren Order as production supervisor and agreed to pay her $25,000 per year, but then breached the contract and fired Lauren. Lauren did not do any work, nor did she earn any of her pay. Warren Pease, one of Paige’s competitors, learned that Lauren was available and offered her $20,000 per year to be his production supervisor. Lauren was insulted by the decrease in pay and refused Warren’s offer. Lauren sued Paige for breach of contract.|::::|If she had a valid contract, the most she will get will be $5000. In any contract dispute, you are expected to mitigate your damages. By turning down the other offer, she failed to do so. All she will get will be the difference between her contract rate and that offered by the competitor. Love the names, by the way.....|::::|If you are dealing with an quot;Exclusive Servicesquot; contract, where Lauren agreed to not work for anyone else in the industry, in exchange for $25,000 from Turner, then Lauren refraining from working for a competitor is in line with the terms of the contract, and she is not compelled to accept the lower salary from Turner s competitor, in order to mitigate damages. Further, Lauren cannot be forced to work for someone else regardless, as this would be a form of slavery. The amount of damages Lauren could obtain from Turner depends upon the terms of the contract, which are rather vague in this exercise.
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