04/25/2023

Krofcheck Obtains Dismissal of Breach of Contract and Wrongful Discharge Lawsuit

Lauren Despot Krofcheck, Esq., a partner in the firm’s Pittsburgh office, successfully obtained dismissal of a lawsuit filed in the Court of Common Pleas of Allegheny County upon presentation of a Motion to Dismiss in a Breach of Contract and Wrongful Discharge Lawsuit filed against a firm client.

The lawsuit was premised upon a breach of the written terms of the employment contract, and public policy arguments in regard to the Wrongful Discharge action.

The plain language of the written contract specified that Plaintiff held two specific positions with Defendant, which were only terminable at the discretion of the Plaintiff.  Plaintiff initially took a leave of absence from one of the positions, but remained employed with Defendant in the other capacity.  Plaintiff was allegedly promised reinstatement at the conclusion of a separate criminal action.  Plaintiff requested reinstatement at the conclusion of the criminal action (where Plaintiff was found not guilty), but was denied reinstatement by Defendant.

Defendant subsequently suspended Plaintiff indefinitely, and restructured the business and positions available.

Attorney Krofcheck aggressively developed the action, and framed the issues in its Answer and New Matter as a material change in the contract terms due to Plaintiff’s resignation of one of the positions, lack of consideration or additional consideration for any alleged change in the contract, void or voidable as a perpetual contract and against public policy, and a waiver of any duties under the contract due to a subsequently discovered theft after Plaintiff’s indefinite suspension.

Written discovery was then strategically propounded upon Plaintiff, including Requests for Admission, that went unanswered.  Upon argument on Defendant’s Motion to Compel, the Court found the argument convincing, and gave Plaintiff 60 days to ameliorate the issues, or the case would be dismissed.  Defendant subsequently presented a Motion to Dismiss that was granted by the Court with prejudice.

If you have any questions about this case or any other insurance defense litigation issues in Pennsylvania, please contact Lauren Despot Krofcheck, Esq., at lkrofcheck@c-wlaw.com or (412) 563-2500.