law-employment-at-will doctrine | discrimination in employment | Sabine Pilot exception | Whistleblower Act
protection for public employees | arbitration of employer-employee disputes | bonus disputes between employer
and employee | employment litigation | discrimination retaliation claims | employee discipline | employee vs.
independent contractor |
noncompete, nonsolicitation agreements |

In Texas, absent a specific contract term to the contrary, employment contracts are terminable at will by either
party.  See Cruikshank v. Consumer Direct Mortgage, Inc., 138 S.W.3d 497, 501 (Tex. App.—Houston [14th Dist.]
2004, pet. denied).

Employment-at-will doctrine.  The doctrine does not stem from an inherent right of the employer, but from the
absence of a contractual agreement regarding the period of employment.  Thus, employment may be terminated
by the employer or the employee at will, for good cause, bad cause, or no cause at all.  Montgomery County
Hosp. Dist. v. Brown, 965 S.W.2d 501, 502 (Tex. 1998).  By definition, the employment-at-will doctrine does not
require an employer to be reasonable, or even careful, in making its termination decisions.  Tex. Farm Bureau
Mut. Ins. Cos. v. Sears, 84 S.W.3d 604, 609 (Tex. 2002).

EMPLOYMENT AT WILL DOCTRINE & EXCEPTIONS - HOUSTON CASELAW

Court of appeals panel splits on whether employee fired for refusing to commit illegal act for
employer can bring Sabine-Pilot wrongful termination claim boss in boss's individual capacity  
Physio, Ltd v. Naifeh (Tex.App. - Houston [14th Dist.] Feb. 4, 2010)(Yates)
(
employment law - wrongful termination; liability on Sabine-Pilot wrongful termination claim)
Appellants appeal the trial court’s judgment holding them individually liable for firing appellee for the sole reason
that she refused to perform an illegal act.  See
Sabine Pilot Serv., Inc. v. Hauck, 687 S.W.2d 733, 735 (Tex.
1985).  Because we hold that the Sabine Pilot doctrine should not be extended to impose liability on individual
employees rather than the plaintiff’s employer, we reverse and render.
DISMISSED IN PART AND REVERSED AND RENDERED IN PART: Opinion by
Justice Brock Yates     
Before Justices Brock Yates, Hudson and Sullivan    
14-08-00017-CV   Physio GP, Inc., Physio, Ltd, Tanja Saadat and Shawn Saadat v. Natalie Naifeh
Appeal from 295th District Court of Harris County
Trial Court Judge:  
Tracy Kee Christopher
Dissenting Opinion by Justice Hudson in Physio GP, Inc.v. Natalie Naifeh  (Sabine Pilot claim against bosses
individually should be viable)    

Employment was at will despite employment contract that stated one-year term; contract provided for
termination without cause
McGee v. Abrams Technical Services, Inc. (Tex.App.- Houston, March 6, 2008)(Alcala)
(
employment law, no breach of contract, summary judgment for Defendant affirmed, employment at will)
AFFIRM TC JUDGMENT: Opinion by Justice Alcala
01-06-00590-CV Phillip J. McGee v. Abrams Technical Services, Inc.
Appeal from 215th District Court of Harris County
Trial Court Judge:
Hon. Levi J. Benton  

Mustang Security and Investigations, Inc. v. Alpha & Omega Services, Inc. (Tex.App.- Houston - Houston [1st
Dist.] Nov. 15, 2007)(Taft)(at will employment)
AFFIRM TC JUDGMENT: Opinion by Justice Taft
Before Justices Taft, Hanks and Higley
01-06-00093-CV Mustang Security and Investigations, Inc., Marilyn Wachel v. Alpha & Omega Services, Inc.
Appeal from 152nd District Court of Harris County (
Hon. Kenneth P. Wise)

Perkins v. Ulrich (Tex.App.- Houston [14th Dist.] Apr. 24, 2007)(Yates)
(
employment at will, employee accepted change in compensation policy by continuing to work)
AFFIRMED: Opinion by Justice Brock Yates
Before Justices Brock Yates, Anderson and Hudson
14-05-00992-CV        Anthony Perkins v. William Ulrich d/b/a Morrison Homes and George Wimpey of Texas Corp.
--Appeal from
215th District Court of Harris County (name of judge not shown on docket)

Perkins v. Ulrich (Tex.App.- Houston [14th Dist.] Apr. 24, 2007)(Yates)
(
employment at will, employee accepted change in compensation policy by continuing to work)

AT WILL EMPLOYMENT & ENFORCEABILITY OF NONCOMPETE AGREEMENT

Talford v. Columbia Medical Center at Lancaster Subsidiary, L.P., (Tex.App. - Dallas 2006)(employment at will,
withdrawal of offer, breach of contract)

Sheshunoff Management Services v. Johnson, No. 03-1050 (Tex. Oct. 22, 2006)(Justice Don R. Willet)
(
enforceability of covenant not to compete, noncompete agreements, employment at will, consideration)
Chief Justice
Jefferson delivered a concurring opinion in Sheshunoff v. Johnson
Justice Wainwright delivered a concurring opinion in Sheshunoff v. Johnson  


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