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E-Z Mart Stores, Inc. v. Hale – Case Brief Summary (Texas)

In E-Z Mart Stores, Inc. v. Hale, 883 S.W.2d 695, 699 (Tex. App.--Texarkana 1994, writ denied), the court found an implied-in-fact contract existed through the posting of a notice stating in part "all E-Z Mart employees are covered by Workmen's Compensation Ins. through E-Z Mart, Inc. Self Insurance Program. T

he Company has assumed the role of your Workermen's Comp. Insurance Company." 883 S.W.2d at 699. The court noted that a contract implied-in-fact arises from the acts and conduct of the parties, and it was implied from the facts and circumstances that there was a mutual intention to contract. Id.

The employee continued to work for E-Z Mart after the posting of the notice, and the court found that the benefit of the service to E-Z Mart constituted her consideration, the program being another form of compensation for her services. Id.

Hence the court found that, under those particular circumstances, there was a contractual obligation outside of the employment at-will status of the employee. Id.