Christmas Shop Manager
A manager is under a one-year contract for $3,000 a month to manage the production and
sales of a company’s Christmas line of goods
In November, a crucial time, the manager goes to his boss and says that one of their
competitors has offered him a job at $4,000 a month if he starts immediately
The boss offers the manager a new contract of $3,500 a month and both tear up their copies
of the old contract
In February, the boss fires the manager and says that there was no deal because he was
already bound to work for him, and he cannot sell the same thing twice
The manager sues the boss for his job
By tearing up the original contracts they have now made it null and void. Therefore, the
store owner would not be paying for the same thing twice as there was an end to the
previous contract. Both signed a new contract stating that the managers new pay was for
one year at $3,500 a month. The old contract was no longer valid as the signatures had been
torn and both parties entered the new contract to create a binding legal agreement