NFPA Paralegal Core Competency Exam (PCCE)Substantive LawMedium

A client is seeking legal advice regarding a dispute with their former employer. The client alleges they were terminated primarily because they reported unsafe working conditions to a government agency, which is protected under state law. The attorney explains that this type of claim falls under an exception to the 'at-will' employment doctrine. Which exception is the attorney most likely referring to?

  1. APublic policy exception
  2. BCovenant of good faith and fair dealing exception
  3. CImplied contract exception
  4. DPromissory estoppel exception
Show answer & explanation

Correct answer: A. Public policy exception

The public policy exception protects employees from termination for reasons that violate a clear public policy, such as whistleblowing or refusing to commit an illegal act.

Why the other options are wrong

  • B. Covenant of good faith and fair dealing implies that parties will act fairly, rarely used to override at-will.
  • C. Implied contract exception arises from employer handbooks or oral assurances.
  • D. Promissory estoppel involves detrimental reliance on an employer's promise.

Public Policy Exception (Employment)

An exception to the at-will employment doctrine that prohibits an employer from terminating an employee for reasons that violate a clear public policy, such as refusing to commit an illegal act or reporting illegal activity (whistleblowing).

  • Protects employees from wrongful discharge.
  • Public policy must be clearly articulated (e.g., in statutes, regulations).
  • Common examples include whistleblowing, exercising a legal right, or refusing to commit a crime.

Memory trick: PIC-P: Public policy, Implied contract, Covenant, Promissory estoppel.

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