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Howard V. Conlin Furniture, Inc.: Case Study

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A. Chigurh being offered an inferior position for $17,500 less, would likely be ruled so intolerable that he was constructively discharged.

In order to be constructively discharged an employee must have voluntarily terminated his or her employment because of a situation created by an act or omission of the employer. Montana Code Annotated § 39-2-903(2) defines “Discharge” as including a constructive discharge “. . . and any other termination of employment, including resignation. . .” § 39-2-903(2). In order to be deemed constructive, an objective reasonable person would have to find the discharge so intolerable that voluntary termination was the only reasonable option. § 39-2-903(1).
If an employee was constructively discharged, the fact finder must go beyond the employee’s subjective judgment in determining whether the employer rendered working conditions so intolerable that resignation was the only …show more content…

Howard v. Conlin Furniture No. 2, Inc., 272 Mont. 438, 901 P.2d 119 (1995). In Howard, the plaintiff was terminated from his store manager position and offered a sales position with notably less pay. The plaintiff rejected the sales position and filed a constructive discharge suit under the WDEA. The defendant argued that the plaintiff was demoted, not discharged. If the employer had not terminated his employment prior to offering the plaintiff a new position, this would have been a constructive discharge. The Court distinguished Howard in Clark v. Eagle Sys. Inc., 279 Mont. 279, 927 P.2d 995 (1996), where the employee was reassigned to a lesser position and continued working until he was unable to perform his duties. Since there was not a “complete severance” of the employment relationship, there was no constructive discharge. Id. at 285, 927 P.2d at

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