On May 15, Smith brings an action against Green to recover the unpaid portion of the $28,000 salary. Is Smith’s employment contract enforceable? Explain.

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On May 15, Smith brings an action against Green to recover the unpaid portion of the $28,000 salary. Is Smith’s employment contract enforceable? Explain.

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Green was the owner of a large department store. On Wednesday, January 26, he talked to Smith and said, “I will hire you as sales manager in my store for one year at a salary of $48,000; you are to begin work next Monday.” Smith accepted and started work on Monday, January 31. At the end of three months, Green discharged Smith. On May 15, Smith brings an action against Green to recover the unpaid portion of the $28,000 salary. Is Smith’s employment contract enforceable? Explain.

Explanation & AnswerSolution by a verified expert

Explanation

The contract is not valid because the contract performance date varies from the date of its commencement, which reflects that the contract will not complete within one year.
There also exists a lack of a written contract, which leads to the unenforceability of that oral contract under the Statute of Fraud.
Individual S cannot take any action against Individual G for not executing the relevant contract.

Verified Answer

The contract is not valid because the contract performance date varies from the date of its commencement, which reflects that the contract will not complete within one year.
There also exists a lack of a written contract, which leads to the unenforceability of that oral contract under the Statute of Fraud.
Individual S cannot take any action against Individual G for not executing the relevant contract.

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