If you’ve been fired, and something about it just doesn’t feel right—you’re not alone. Maybe your employer promised you job security for a specific time period. Or, your employer fired you for neglecting duties that weren’t part of your written job responsibilities. Now, you’re left wondering: Can they do that?
Employment contract law addresses such issues. An employment contract is a legal document laying out rules you and your boss must follow. If your employer breaks those rules when they fire you, you could take legal action against them.
In this blog post, we’ll explain how employment contracts work, when they can lead to wrongful termination cases, and what to do if you suspect your employer violated one.
At the Law Offices of Supriya Kichloo, P.C., we’ve seen too many hardworking New Yorkers lose their jobs unfairly and silently accept it. You don’t have to. Let’s discuss your rights and options regarding an unlawful termination.
What Is a Contract of Employment?
An employment contract is a formal legal agreement between you and your employer. It typically outlines the terms and conditions of your job. This can include:
- Job details—your title, responsibilities, work hours, and length of employment;
- Compensation—your pay, benefits, and any bonuses;
- Adverse action procedures—the disciplinary process, what reasons are acceptable for firing; and
- Restrictive clauses—an employer’s limits on what you can say or do after you leave, such as non-compete and confidentiality agreements.
Many New Yorkers earn their living through at-will employment, meaning the employee or employer can end the job at any time for almost any reason. However, an employment contract can change that. If you have a written contract that says your employer will keep you employed for a specific time or can only terminate you for certain reasons, then you aren’t an at-will employee. Instead, your employer must follow the rules set out in your contract around how and when you can leave your job.
That’s why it’s essential to understand your contract thoroughly—especially if your termination violates your agreement’s promises. Your contract could give you legal grounds to fight back.
What Happens If My Employer Doesn’t Follow Our Employment Contract?
If your employer violates the terms of a valid employment contract, you could take legal action to hold them accountable and potentially recover compensation for your losses.
Here are some situations when a termination could lead to a breach of contract claim:
- Your employer fired you even though your contract says they could only let you go “for cause” (such as misconduct or failure to meet performance goals);
- Your contract stated the job lasted for one year, but your company fired you after only three months without explanation;
- Your contract promised progressive discipline through things like warnings or probation, but your employer fired you without notice of any prior issues; and
- Your company let you go even though your contract says they could only lay you off based on seniority or job performance.
In these situations, your termination could amount to a wrongful termination claim based on breach of contract, especially if you’ve suffered financially as a result.
Employees who file a breach of contract claim after an illegal firing could recover damages for lost wages, denied benefits, legal fees, and even emotional distress. New York law allows up to six years after an employer’s breach of contract to file a lawsuit against them. However, acting sooner rather than later is crucial to preserve evidence and build your case.
Is There a Difference Between a Contract and an Agreement for Employment?
In everyday conversation, the words “contract” and “agreement” are often used interchangeably. However, in legal terms, there’s a difference. An employment contract is typically a formal, written document signed by you and your employer. The language it contains is legally binding, meaning you or your employer could be sued for not following it.
An employment agreement is a less formal arrangement. It could be oral or implied—like a promise made during a job interview or offer email. While these types of agreements can be harder to prove and enforce in court, New York law does recognize them in certain cases. If you think your employer broke an unwritten agreement, even if nothing was officially signed, you may still have legal options. An experienced employment attorney can help you understand your rights and figure out if you have a case.
How Can an Employment Contract Impact My Legal Claim?
Depending on the terms, your employment contract can affect a wrongful termination case in many ways. Contracts often include clauses that can be favorable to employers when it comes to disputes.
Here are some common terms to watch out for in your contract:
- Arbitration clauses. These require you to resolve disputes privately, through binding arbitration, rather than in court. This clause can limit your options.
- Non-disparagement clauses. These clauses may try to prevent you from speaking out about your employer, even after you’ve been treated unfairly.
- Waiver of legal claims. Sometimes, contracts include language that tries to make you give up your right to sue (though these aren’t always enforceable).
- Termination for “any reason” clauses. These clauses can be used to argue that you were still an at-will employee despite other terms that promise job security.
Although contracts can help ensure employees receive the benefits they’re promised, they also enforce obligations like those listed above.
Unfortunately, many employees in New York are asked (or pressured) to sign agreements without fully understanding the terms—especially if the contract is in complex legal language.
At the Law Offices of Supriya Kichloo, P.C., we often see employers using those contracts against workers later, even if they didn’t uphold their end of the deal. That’s why it’s crucial to speak to an employment attorney if you suspect a firing violated your contract. An experienced lawyer can review your contract, help you understand your rights under New York’s employment contract law, and guide you through your options for taking action.
Talk to an Attorney Who Understands You—and the Law
Wrongful termination can leave you feeling powerless, especially if you’re navigating a legal system you don’t fully understand. However, you don’t have to go through it alone. The Law Offices of Supriya Kichloo, P.C. has a decade of experience fighting to help all New Yorkers exercise their rights as employees. We’ve helped clients recover unpaid wages, challenge discriminatory firings, and stand up to employers who thought they could take advantage of their workers. With a deep understanding of what it means to be an immigrant and a working-class employee, Supriya Kichloo is prepared to deliver the compassionate and aggressive representation you deserve. If you believe your employer broke the rules or fired you unfairly, reach out. We offer free consultations, and we’ll take the time to explain your rights in a language you understand.