The Cause And Effect Of 'For Cause' Employment Clauses

Law360, New York (February 24, 2014, 5:28 PM EST) -- When an employee walks into a meeting, pulls down his pants and moons his boss, can his company fire him “for cause?” What if the employee fakes merchants’ signatures on credit card agreements? Or what if he ships boxes of the company’s confidential documents to his home?

The starting point for answering these questions is often the company’s written agreement with the employee. Employment agreements sometimes include provisions that allow the employer to terminate the employee “for cause” or with “just cause,” as opposed to “without...
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