Most of America’s major universities have no shortage of workplace policies. From faculty handbooks to codes of ethics to policies governing research and teaching, these directives touch on nearly every aspect of a faculty member’s relationship with the university. But when can these policies become enforceable contracts that have the potential to subject the university to liability for failure to comply with their terms? And is it any different for employers outside of the colleges and universities context? Prudent university counsel should keep in mind that New York state and federal courts have held that employees can pursue breach of contract claims based on an alleged failure to comply with workplace policies.
New York Courts’ Approach to Workplace Policies
The willingness of courts to recognize contract rights in workplace policies is somewhat in tension with rulings by the New York Court of Appeals that have stressed the importance of restraint when addressing such issues. Indeed, the court has long held that “routinely issued employee manuals, handbooks and policy statements should not lightly be converted into binding employment agreements.” See Lobosco v. New York Telephone Company/NYNEX, 96 N.Y.2d 312, 386 (2001). As the court explained, doing so would be “unwise” because it would subject employers who have developed written policies to contractual liability upon a “mere allegation” by an employee of reliance on a specific provision.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.
For questions call 1-877-256-2472 or contact us at [email protected]
