Toussaint v. Blue Cross & Blue Shield of Michigan

292 N.W.2d 880 (1980)

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Toussaint v. Blue Cross & Blue Shield of Michigan

Michigan Supreme Court
292 N.W.2d 880 (1980)

Facts

Charles Toussaint and Walter Ebling (the employees) (plaintiffs) were employed, respectively, by Blue Cross & Blue Shield of Michigan (Blue Cross) and Masco Corporation (collectively, the employers) (defendants). Toussaint was discharged after five years, and Ebling was discharged after two years. The employees sued the employers for violation of their employment agreements, which they claimed allowed termination for cause only. According to the employees, both were told upon hire that they would remain employed as long as they were doing the job. Further, in Toussaint’s case, Blue Cross had a written policy stating that the company would discharge employees for just cause only. At trial, verdicts were rendered for the employees. On appeal, different panels of the court of appeals reversed the verdict for Toussaint and affirmed for Ebling. An appeal followed.

Rule of Law

Issue

Holding and Reasoning (Levin, J.)

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