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Legal and ethical issues1Project 2: Turnip Plaza Hotel CaseMBA 630IntroductionFormer employee Mr. Mark Piper was dismissed from the Turnip Plaza Hotel as a result of corporate restructuring after concerns arose regarding increased liability risks. Prior to being
Legal and ethical issues2relieved of his duties Mr. Piper was verbally promised by the hotel’s manager Edward Griffin a 50 percent pay increase and guaranteed contract for two years if Mark turn down an offer from a competing company for employment. Mr. Piper turned down the offer of employment based on the promise from Mr. Edward Griffin the hotel’s manager. Mr. Piper was employed as a tour guide and gained a reputation as being one of the most skilled tour guides in Michigan. Mark was known for his kayaking tours and was often requested by tourist visiting the hotel, generating significant revenue for the company and he was even featured on an extreme sports television show. This report speaks on the legal and ethical ramifications for firing Mr. Piper.Contract formation, definition of promise, and law of contracts.The law governing the formation of a contract and how legally they are enforcing, is a component of civil. A contract is based on a promise which can be defined as statement or declaration to perform or not perform specific actions. The two parties in the contract called the promisor (who makes the promise) and the promise (whom the promise is made to). The promise has the right to expect the specified acts to be performed by the promisor. Promises made in contracts are subject to the laws of contract which distinguish between a moral and/or legal obligation either party may incur. In the United States the two major sources of domestic contract law are the Uniform Commercial Code (UCC) and common law. Most contracts regarding employment are governed by the common law of that particular state.Michigan law MCLS § 566.132The promise made by Mr. Edward Griffin to Mr. Mark Piper, should litigation be pursued, is subject to section 2 of MCLS § 566.132 which states “In the following cases an agreement,
Legal and ethical issues3contract, or promise is void unless that agreement, contract, or promise, or a note or memorandum of the agreement, contract, or promise is in writing and signed with an authorized signature by the party to be charged with the agreement, contract, or promise:a)“An agreement that, by its terms, is not to be performed within 1 year from the making ofthe agreement.b)A special promise to answer for the debt, default, or misdoings of another person.c)An agreement, promise, or undertaking made upon consideration of marriage, except mutual promises to marry.d)A special promise made by a personal representative to answer damages out of his or her own estate.