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When an employer fails to follow through with contractual promises made to an employee, it can cause the employee to suffer undue hardship. At Attorneys for Employees (AFE), we help employees recover damages when their employer breaches an employment contract.

What qualifies as a Breach of Contract?

When an employee is hired by a company, they may enter into an agreement which clarifies what is expected of the employee and what the employee can expect from the employer. This is called an employment contract and its terms are enforceable by law. When an employer fails to abide by the terms of the employment agreement, a breach of contract has occurred. 

Does the contract have to be written to be enforceable?

Although it is certainly easier to prove breach of a written contract, many oral and implied contracts are protected and may be enforced as well. In fact, the majority of breach of contract cases are oral or implied. 

  • Oral Employment Contract: An oral employment contract occurs when the terms of the agreement are stated and agreed upon verbally by all parties concerned. 
  • Implied Employment Contract: An implied employment contract occurs when the agreement is not written or expressed in words, but can be implied through the conduct of the parties involved.

In some instances, the conduct of the employer can rise to the level of fraud and entitle the employee to recover punitive damages. For example, an employer may make false representations about health risks, job security, promotions, salary or bonuses. 

Breach of Contract Statute of Limitations

Employees should be aware that contract claims can be barred if not pursued in a timely manner. Typically, in California, for an oral or implied contract, the statute of limitations is two years from the time the breach occurs. For a written contract, the statute of limitations is four years from the time the breach occurs.

What can I recover if my employer breached a contract with me?

When you are the victim of a breach of employment contract, you may be able to recover the following:

  • Wages lost due to the breach of employment contract
  • Potential earnings (such as bonuses) lost due to the employer’s failure to follow through with the terms of the contract
  • Benefits the employee would have been entitled to if the contract’s terms had not been breached

What should I do if my employer breached my employment contract?

The first thing you need to do is schedule a consultation with our firm. Our attorneys at AFE have spent years representing employees from different industries to recover what they are due. We have the experience and skills you are looking for in a law firm so you can rest assured that your case receives the individualized attention it deserves. We can be contacted by filling out our intake form.