Avoiding wrongful discharge law suits in Montana

Across the US each year, thousands of employees sue their employers for wrongful discharge, and the stakes can be quit high. In Flanigan vs. Prudential Savings Court, the Montana Supreme Court upheld a jury award of almost $1.5 million to a bank teller discharged without good cause following 28 years of good service. The relevant aspects of current law are outlined and a practical guide for Montana business owners and managers hoping to avoid such costly wrongful discharge lawsuits is presented. The Wrongful Discharge From Employment Act (WDFEA) became effective July 1, 1987. The WDFEA restored much of the previous latitude employers had in the termination process, while also reflecting recent judicial concern for grossly unfair treatment of employees. Important features of the WDFEA include: 1. It eliminates punitive damages except where actual fraud and malice can be proved. 2. It establishes a one-year statute of limitations for filing a wrongful discharge action.