If a company provides its employees with a personnel handbook, and that handbook says that employees will be fired only for certain enumerated infractions of work rules, a worker may later argue that the manual formed a(n)________ with the firm.
A)implied contract.
B)breached contract.
C)express contract.
D)None of these answers.

Question

Quizplus · Accepted Answer

An implied contract is created by the actions, behavior, or circumstances of the parties involved, rather than written or spoken words. In this case, the personnel handbook, by specifying conditions under which employees can be fired, implies a contract that limits the reasons for termination, even though it might not be formally stated as a contract.

If a Company Provides Its Employees with a Personnel Handbook