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LSDefine

Simple English definitions for legal terms

additional-consideration rule

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A quick definition of additional-consideration rule:

The additional-consideration rule is a special rule in employment law that says if an employee does something extra for their job, like moving to a new city based on promises of job security, they can sue their employer for breaking their agreement if they don't keep their promise. This rule only applies if there is no written contract between the employee and employer.

A more thorough explanation:

The additional-consideration rule is an exception to the employment-at-will principle in employment law. It applies when an employee does not have a written contract but undertakes substantial hardship in addition to their normal job duties. This can include relocating to a different city based on oral assurances of job security. If the employer does not fulfill its agreement, the employee can maintain a breach-of-contract claim.

For example, if an employee is offered a job in a different state and is promised job security, but the employer terminates their employment without cause, the employee may have a breach-of-contract claim under the additional-consideration rule.

Another example is if an employee is promised a promotion and a raise if they complete a specific project, but the employer fails to follow through on their promise. The employee may have a breach-of-contract claim under the additional-consideration rule.

These examples illustrate how the additional-consideration rule can protect employees who have relied on oral assurances from their employer and have suffered substantial hardship as a result.

additional claims after allowance | additional extended coverage

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