Read v. Willwoods Community
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Willwoods Community is a non-profit corporation subject to the precepts of the Roman Catholic Church providing ministries in affordable housing, faith and marriage, WLAE-TV and Eucharistic Adoration. Father Thomas Chambers served as president of Willwoods. In early 2009, Willwoods established the position of "Executive Director" as part of a succession plan to eventually succeed Father Chambers, who was then 74 years old. In a meeting, plaintiff Michael Read was formally offered and accepted the job. The parties discussed specifics such as salary, benefits, starting date and that the Executive Director would serve on the Board and the Executive Committee. There was no discussion at that meeting regarding a specific term of employment. There was no written contract of employment. Read began employment as Executive Director of Willwoods on June 1, 2009. In the subsequent spring, it became apparent to the Board that there was an issue regarding Read’s continued employment. Read was advised his employment at Willwoods was “not going to work.” Read did not receive any formal notice of termination at that time and he continued to work at the Willwoods office, testifying that he still hoped things could be worked out. There was testimony that Read was asked to submit a voluntary resignation, but Read refused. On June 23, 2010, Willwoods’ attorney sent a formal termination letter. Read subsequently filed suit against Willwoods alleging it had breached a five-year employment contract, seeking damages consisting of the remainder of his salary and benefits for the five-year period. The matter was tried before a jury who found in favor of Read by a 9-3 vote. Nine jurors specifically found there was a
limited duration employment contract between Read and Willwoods and the duration of that contract was five years. The trial court denied Willwoods’ motions for judgment notwithstanding the verdict and new trial, and entered judgment on the jury’s verdict. The trial court calculated damages based on a pre-trial stipulation of the parties and awarded Read $510,328.75 in damages, together with interest from the date of judicial demand and all costs of the proceeding. Willwoods appealed and the court of appeal affirmed. After review, the Supreme Court held that the evidence in the record did not provide a reasonable factual basis for the lower courts’ findings. Further, based on its review of the record, the jury’s findings were clearly wrong. The Court therefore reversed the ruling of the court of appeal.
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