Termination of the Contract
Termination of the contract
Termination of the contract
Under common law, a contract of employment may be terminated by: (a) Agreement with notice; (b) Death of the employer or employee; (c) Frustration; (d) Insolvency; or (e) Breach.
Termination by agreement with notice
The ending of a contract of employment is most often achieved without any breach of its terms. A contract can be terminated at common law by either party giving the notice required by the terms of the contract, or by giving reasonable notice where none is specified in the contract. What is regarded as reasonable notice depend on a number of factors, such as the nature of the work, the method of payment and the custom of the trade. Alternatively, an employer may pay wages in lieu of notice, subject to the protection given to the employees under the Unfair Dismissals Act 1977.
Case: Mc Donnell v. Minister for education (1940)
The plaintiff, a lecturer, was employed by the defendant. She was given three months’ notice of termination of her contract of employment upon her marriage. She took an action against the defendant for the wrongful dismissal. Held: As no notice was specified in the contract of employment, six months was a reasonable period in the cirumstances.
Termination by death of the employer or employee
Death of either the employer or the employee will end the contract, unless there is an express or implied term to the contrary. This will not apply if the person employed by a company, which may have perpetual existence. Any liabilities arising under the contract of employment are not extinguished upon the death of either party. For example, any outstanding remuneration must be paid to the estate of the employee.
Termination by frustration
If either party is incapable of performing their part of the contract due to circumstances beyond their control, it will be terminated by frustration. Illness may be a frustrating event if it renders future
Termination of the contract
Under common law, a contract of employment may be terminated by: (a) Agreement with notice; (b) Death of the employer or employee; (c) Frustration; (d) Insolvency; or (e) Breach.
Termination by agreement with notice
The ending of a contract of employment is most often achieved without any breach of its terms. A contract can be terminated at common law by either party giving the notice required by the terms of the contract, or by giving reasonable notice where none is specified in the contract. What is regarded as reasonable notice depend on a number of factors, such as the nature of the work, the method of payment and the custom of the trade. Alternatively, an employer may pay wages in lieu of notice, subject to the protection given to the employees under the Unfair Dismissals Act 1977.
Case: Mc Donnell v. Minister for education (1940)
The plaintiff, a lecturer, was employed by the defendant. She was given three months’ notice of termination of her contract of employment upon her marriage. She took an action against the defendant for the wrongful dismissal. Held: As no notice was specified in the contract of employment, six months was a reasonable period in the cirumstances.
Termination by death of the employer or employee
Death of either the employer or the employee will end the contract, unless there is an express or implied term to the contrary. This will not apply if the person employed by a company, which may have perpetual existence. Any liabilities arising under the contract of employment are not extinguished upon the death of either party. For example, any outstanding remuneration must be paid to the estate of the employee.
Termination by frustration
If either party is incapable of performing their part of the contract due to circumstances beyond their control, it will be terminated by frustration. Illness may be a frustrating event if it renders future