Unfortunately, most employees are not afforded the luxury of entering into a written employment contract with their employer. For those who do, however, keep in mind that your employer cannot arbitrarily terminate your employment. If the employment contract is for a one-year term, then your employer can only terminate your employment prior to the end of that one-year period for “cause” — a term that is either defined or not defined in the contract.
If the term “cause” is defined, then those are the only reasons that your employer can terminate your employment. If the term “cause” is not defined, then the employer must prove that you breached the employment contract, that it conducted an objective and reasonable investigation of your alleged breach, and that there was substantial evidence that you breached the contract.
Ultimately, the key to analyzing breach of employment contract situation is to carefully read the termination provisions set forth in the contract and then apply the facts to the contractual language.