When Bill Compton started working for Merlotte Enterprises, he received a copy o

Question

When Bill Compton started working for Merlotte Enterprises, he received a copy of Merlotte's Employee Handbook. As part of his acceptance of employment at Merlotte's, Bill signed a form stating that he received the handbook and understood its terms and agreed to abide by the terms. During Bill's third year of employment, Merlotte revised the handbook. One of the revisions was the addition of an arbitration clause that stated that all disputes arising out of employment with Merlotte would be settled by binding arbitration. Merlotte advised its employees of the specific changes to the handbook terms and required all employees to sign waivers stating that they read, understood, and accepted the revised terms. Bill signed this form and continued working at Merlotte's until his employment was terminated. Bill sued Merlotte alleging various claims of unfair dismissal.

Should the Court hear Bill's claim or is he bound by the arbitration agreement? Discuss the pros and cons.

Explanation / Answer

No, the court should not hear Bill Compton's claim.He should be bound to the arbitration agreement.because Merlotte and Compton entered into the arbitration agreement voluntarily and was not imposed by any parties.This contract was offered through proper means and by signing the waiver Bill stated an intent to accept the contract.Thus there is no evidence of any unfair dismissal of Bill by Merlotte Enterprises.

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