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Guz v. Bechtel National, Inc.

Employee's lengthy and satisfactory work history did not establish implied-in-fact contract that employee was no longer terminable at will.

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The full case caption appears at the end of this opinion.

This case presents questions about the law governing claims of wrongful discharge from employment, as it applies to an employer’s motion for summary judgment. Plaintiff Guz, a longtime employee of Bechtel National, Inc. (BNI), was released at age 49 when his work unit was eliminated and its tasks were transferred to another Bechtel office. Guz sued BNI and its parent, Bechtel Corporation (hereinafter collectively Bechtel), alleging age discrimination, breach of an implied contract to be terminated only for good cause, and breach of the implied covenant of good faith and fair dealing. The trial court granted Bechtel’s motion for summary judgment and dismissed the action. In a split decision, the Court of Appeal reversed. The majority found that Bechtel had demonstrated no grounds to foreclose a trial on any of the claims asserted in the complaint.

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