Hey! We are currently studying consideration and I came across this hypo and gave it an attempt. I am trying to learn to think like a lawyer and I would like anyone who is willing to give me tips to go ahead. Anyway, here is the hypo and here is my attempt at a reply:
Workers' compensation is a form of government organized insurance that provides wage replacement and medical benefits for employees who are injured in the course of employment, in exchange for the employee's relinquishing the right to sue the employer for negligence. In a job related accident, Dale Warren Dyer, an at-ell employee, lost his right foot. His employer placed him on a paid leave of absence for a year, after which he returned to work as a foreman, the job he had held before the injury. A year later he was laid off. Dyer sued for breach of contract, claiming that he believed he had a valid clam against his employer for his personal injury, and that he had forborne pursing this claim because the employer had promised him "lifetime employment." In reply, the employer asserts that this promise, even if it had been made, would be unenforceable for lack of consideration since the state workers' compensation act states that: "that rights and remedies provided in this chapter...for an employee on account of injury...for which benefits under this chapter....are recoverable, shall the exclusive and only rights and remedies of such employee..t common law or otherwise, on account of such injury, against his or her employer." Bother parties agree that the employee's injury is covered by this statute. Will the employer prevail? Source: The Modern Law of Contracts, Frier & White, 3rd ed. pg 49.
This is a confusing issue. Both sides have good arguments. The employer could argue that there is no legal consideration because there is no eligible performance being sought by the promise. The employee's argument that him not pursuing the claim against his employee is enough consideration would struggle when couple with the idea that the worker's compensation was agreed to that very purpose (i.e., compensation if he indeed does injured, which he received, for his assent to not sue). In order words, the worker's comp had met the legal obligations that the employer had which is SEPARATE from this new promise of a "lifetime employment." Unless the ex-employee can provide a performance differentiated from the initial performance of NOT suing for negligence, he has an uphill battle. IOW, the initial claim for his injury is already satisfied 1) by the contract he signed with worker's comp 2) he received his compensation thus completing the execution of that promise for that incident.
The employee, on the other hand, could state that the promise of his performance (his relinquishing his rights) implicitly contained "full time employment" or compensation, to be more accurate. Since his injury is permanent, he has to 'permanently' relinquish his rights which means, from his perspective, he can argue that the promise also must match the permanency of his injury. Thus there is consideration implicit in the agreement.
Am i on a good track? And please let me know if this is not appropriate for this forum.
Question for contracts hypo Forum
(Study Tips, Dealing With Stress, Maintaining a Social Life, Financial Aid, Internships, Bar Exam, Careers in Law . . . )
Return to “Forum for Law School Students”
Jump to
- Law School Admissions
- ↳ Law School Admissions Forum
- ↳ Law School Personal Statements
- ↳ LSAT Prep and Discussion Forum
- ↳ Law School Acceptances, Denials, and Waitlists
- ↳ Law School Visits
- ↳ Choosing a Law School
- ↳ What are my chances?
- ↳ Financial Aid
- ↳ Ask a Law Student / Graduate
- ↳ Transfers
- Law School
- ↳ Forum for Law School Students
- ↳ Ask a Law Student
- ↳ Non-US Law Schools Forum
- ↳ Bar Exam Prep and Discussion Forum
- ↳ Law School Courses
- Law School Class Forums
- ↳ TLS Class of 2025 Forum
- ↳ TLS Class of 2024 Forum
- ↳ TLS Class of 2023 Forum
- ↳ TLS Class of 2022 Forum
- ↳ TLS Class of 2021 Forum
- ↳ TLS Class of 2020 Forum
- ↳ TLS Class of 2019 Forum
- ↳ TLS Class of 2018 Forum
- ↳ TLS Class of 2017 Forum
- ↳ TLS Class of 2016 Forum
- Legal Employment/Careers
- ↳ Legal Employment
- ↳ Judicial Clerkships
- ↳ OCI
- ↳ In-House
- ↳ Small & Midsized Firms
- ↳ 1st Year and 2nd Year Summer
- ↳ Big Law/Private Practice Jobs
- ↳ Public Interest & Government
- ↳ Alternative Careers
- ↳ Lateral Moves
- ↳ Interview Tips
- ↳ Resume Tips
- Underrepresented Lawyers and Students
- ↳ Black Lawyers and Law Students
- ↳ Hispanic and Latino Lawyers and Law Students
- ↳ Asian Lawyers and Law Students
- ↳ American Indian Lawyers and Law Students
- ↳ Women Lawyers and Law Students
- ↳ LGBTQ+ Lawyers and Law Students
- ↳ Disabled Lawyers and Law Students
- ↳ First Generation Lawyers and Law Students
- ↳ Veteran Lawyers and Law Students
- ↳ Single Parent Lawyers and Law Students
- ↳ Underrepresented Law Students
- Legal Practice
- ↳ Forum for Law School Graduates Only
- ↳ Discussion of Practice Areas
- ↳ Legal News/Law Firm Gossip
- ↳ Firm Q&A by Region
- Legal Advice
- ↳ Free Help and Advice from Professionals
- Off-Topic
- ↳ Buy - Exchange - Giveaway - Sell
- ↳ TLS Content Competitions
- ↳ Other forums not on the main forum index page
- ↳ TLS Class of 2015 Forum
- ↳ TLS Class of 2014 Forum
- ↳ TLS Class of 2013 Forum
- ↳ TLS Class of 2012 Forum
- ↳ TLS Class of 2011 Forum
- ↳ TLS wiki forum
- ↳ TLS Web Logs (Blogs)