Hafeman v. PROTEIN DISCOVERY, INC.
Dean G. Hafemen sued Protein Discovery, Inc. for breach of an employment contract after his termination, arguing he was owed severance benefits for a "Termination Without Cause". The trial court sided with the employer, ruling the termination was "For Cause". On appeal, the higher court reversed this decision. The appellate court found the employer failed to demonstrate a "material adverse effect" on the company from Hafemen's actions, and also determined that the termination notice provided by the employer was contractually deficient. Consequently, the court held that Hafemen's termination did not meet the contractual definition of "Termination For Cause."