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My employer breached the contract that we had both signed

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Accountant


Arresto Menor
Hi everyone, Smile

I'm new here in this forum, I just want to ask some legal advice with our lawyers & other professionals here with regards to the subject matter.

Though I'm a new CPA which have knowledge of some business laws in our country, the Philippines, I still need your advice of which lawyers are more capable in legal matters.

The scenario:

It's my first work after graduation & passing the board, had my first month of being employed last December 21, 2011.

I had signed an employment contract together with the signature of the HR-head being the representative of the the company I'm working with.

After a month of service, the company breached the contract by not following the stipulations & changing some without my consent. pale

Right now, as I'm writing this inquiry, I listed provisions that my employer violated. Also, I provide explanations for them to know what have they violated.

Provisions from the Civil Code of the Philippines that I'm about to use:

1. Article 1308
The contract must bind both contracting parties; its validity or compliance cannot be left to the will of one of them.

2. Article 1370
If the terms of the contract are clear and leave no doubt upon the intention of the contracting parties, the literal meaning of the stipulations shall control.
If the words appear to be contrary to the evident intention of the parties, the latter shall prevail over the former.

3. Article 1338
There is fraud when, through the insidious words or machinations of one of the contracting parties, the other is induced to enter into a contract which, without them, he would not have agreed to.

4. Article 1339
Failure to disclose facts, when there is a duty to reveal them, as when the parties are bound by confidential relations, constitutes fraud.

5. Article 1170
Those who in the performance of their obligations are guilty of fraud, negligence, or delay, and those who in any manner contravene the tenor thereof, are liable for damages.

6. Article 2201
In contracts and quasi-contracts, the damages for which the obligor who acted in good faith is liable shall be those that are the natural and probable consequences of the breach of the obligation, and which the parties have foreseen or could have reasonably foreseen at the time the obligation was constituted.
In case of fraud, bad faith, malice or wanton attitude, the obligor shall be responsible for all damages which may be reasonably attributed to the non-performance of the obligation.

With regards to the termination of employee that requires one (1) month prior notice as per Philippine Labor Code is concern, I conclude that my employer as the one who breach the contract lose their right to exercise such.

Being the injured party, I have the right to resign without me being bound for damages, am I right? Question

Though I'm newly-hired internal auditor, I need to voice out my thoughts & feelings and fight for my right. bounce I am more than willing to resign than to work and be fooled by these Human Resources Department.

I need your advice. Thank you & much appreciated. Very Happy



Last edited by Accountant on Thu Dec 29, 2011 6:28 pm; edited 1 time in total (Reason for editing : change of spelling & for grammar purposes)

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attyLLL


moderator
what changes were made?


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Accountant


Arresto Menor
Atty. compensation rate:
They decrease the rate, without my consent.

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attyLLL


moderator
I recommend you first write a letter informing them of the discrepancy, and if they fail to adjust, then you can resign.


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Accountant


Arresto Menor
Last year, I already talk to the person in charge in HR, with regards to this issue. But they say this is their system for new hires. As to what I think at that moment, "ah, this is how you fool your applicants just for them to accept your offer."

As of now, I'm still waiting for an update until this coming pay-period, Jan. 10. If still no changes with their system, I will resign.

So I'll ask again if my conclusion is right with regards to this:
With regards to the termination of employee that requires one (1) month prior notice as per Philippine Labor Code is concern, I conclude that my employer as the one who breach the contract lose their right to exercise such.

Being the injured party, I have the right to resign without me being bound for damages, am I right sir?

Also, another follow-up question:
Just in case if it's being corrected, as to legal point of view do I have the right to demand for a retroactive correction? It's because as to my common sense & as to International Accounting Standard(IAS)/Philippine Accounting Standard(PAS) # 8: Accounting Policies, Changes in Accounting Estimates and Errors*
As a general rule, retroactive correction is a must. Criterion for the exemption to the rule are not met. Also, I'm entitled to claim for damages pursuant to the provisions I enumerated..

*Prior period errors are omissions from, and misstatements in, an entity's financial statements for one or more prior periods arising from a failure to use, or misuse of, reliable information that was available and could reasonably be expected to have been obtained and taken into account in preparing those statements. Such errors result from mathematical mistakes, mistakes in applying accounting policies, oversights or misinterpretations of facts, and fraud.


I'll write a letter to them, including their violations of provisions that I enumerated on my first post with corresponding explanations for them, as having less knowledge with the Civil code, to understand their contraventions.

Thank you so much attyLLL. I'm a CPA-Lawyer[JD] aspirant. 1 more to go, still saving for that event. Smile



Last edited by Accountant on Tue Jan 03, 2012 11:56 am; edited 1 time in total (Reason for editing : for additional query & info)

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attyLLL


moderator
while you may have many grievances, i suggest you keep it simple to the basic ones, particularly the pay.

if resignation without notice is your objective, then it has to fit one of these:

Serious insult to the honor and person of the employee
Inhuman and unbearable treatment;
Crime committed against the person of the employee or any of the immediate members of the employee’s family; and
Other analogous causes.

if you will continue, i recommend the analogous cause argument.


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Warning and Disclaimer: I am not your lawyer; and you are not my client. With the limitations of an  Internet forum, a thorough review of your concern is not possible. View my comments at YOUR OWN RISK. It is best to actually retain a lawyer for your individual concerns.
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