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Employment Law Question

Employees v. Widget Company

Elizabeth Bennett and Tom Jones applied to become administrative assistants for Widget Company. After the interviewing process, both were hired and asked to sign contracts that contained the same provision: â??If there is any dispute as to employment practiced or employee/employer actions, this dispute will be decided via binding arbitration.â? Both sign the contract after being given ample time to review it and to consult an attorney. Several months later, Tom became addicted to cocaine, and Elizabeth became pregnant with her first child. When Elizabeth experienced complications during her pregnancy, Widget initially agreed to grant her medical leave, but shortly thereafter the company informed Elizabeth that her position had been eliminated due to a â??reorganization.â?
Fearing that Tom might have trouble picking up the slack for the recently released Elizabeth, Widget asked him to take a surprise drug test. Tom was confused and alarmed and refused to take the test. Widget informed him that because of his refusal, he was fired. Elizabeth decided to file a lawsuit in state court under the state and federal Family and Medical Leave Acts that guarantee pregnant women a set number of weeks off for pregnancy. Tom, on the other hand, submitted his case to an arbitrator.

Will either of their grievances be heard in court? Why?

What will the results of each be?

Solution Preview

Yes, the action brought by Elizabeth will be heard in Federal Court probably and they will attach the state law most likely. This is because the company has violated federal and state law rather than just their own contract policies. In this case, there is a ...

Solution Summary

Employees v. Widget Company

Elizabeth Bennett and Tom Jones applied to become administrative assistants for Widget Company. After the interviewing process, both were hired and asked to sign contracts that contained the same provision: â??If there is any dispute as to employment practiced or employee/employer actions, this dispute will be decided via binding arbitration.â? Both sign the contract after being given ample time to review it and to consult an attorney. Several months later, Tom became addicted to cocaine, and Elizabeth became pregnant with her first child. When Elizabeth experienced complications during her pregnancy, Widget initially agreed to grant her medical leave, but shortly thereafter the company informed Elizabeth that her position had been eliminated due to a â??reorganization.â?
Fearing that Tom might have trouble picking up the slack for the recently released Elizabeth, Widget asked him to take a surprise drug test. Tom was confused and alarmed and refused to take the test. Widget informed him that because of his refusal, he was fired. Elizabeth decided to file a lawsuit in state court under the state and federal Family and Medical Leave Acts that guarantee pregnant women a set number of weeks off for pregnancy. Tom, on the other hand, submitted his case to an arbitrator.

Will either of their grievances be heard in court? Why?

What will the results of each be?

$2.19