Cleary v. American Airlines, Inc.
Court of Appeal of California
111 Cal.App.3d 443 (Cal. Ct. App. 1980)
Relevant factsFree
Lawrence Cleary (plaintiff) worked as an at-will employee for American Airlines (defendant) for over 18 years and had a satisfactory record. American Airlines had its own internal policy promising employees a fair hearing before suspension or discharge for just cause, but it suspended and then fired Cleary over alleged misconduct without giving him that hearing. Cleary sued for breach of contract and breach of the implied covenant of good faith and fair dealing, and the trial court dismissed his claims on demurrer.
IssueFree
Whether, under California employment law, there is an implied duty of good faith and fair dealing in all employment contracts.