Litigating a Breach of Employment Agreement in Maryland 

 Posted on December 16, 2024 in Employment Law

Maryland employers work "at will," meaning that they may be hired or fired at any time and for any legal reason. However, where the parties have signed an employment agreement, its terms will determine the parties’ rights and responsibilities.

Both parties to an employment agreement are bound by their terms and may face legal consequences for breaching the contract. An experienced Baltimore, MD employment agreement dispute attorney can represent either employees and employers in a lawsuit on a breach of an employment agreement.

What Should You Do if You Believe There is a Breach of an Employment Agreement?

If you suspect that the other party has breached the employment agreement, the first thing to do is to review the agreement, particularly the sections related to the breach and to the resolution of disputes. Next, you should document the breach by collecting any pertinent written evidence. If you are an employer or employee at a workplace with a human resources department, have an HR representative review the terms of the agreement and company policy. It may be possible to come to a negotiated solution by communicating with the other party. If you cannot amicably resolve the dispute, it may be time to consider filing an employment agreement breach of contract lawsuit.

What is an Employment Contract Breach?

There are several types of employment agreement breaches. The type of breach may affect the seriousness of the contract breach:

• Material breach: This is the most serious type of contract breach. When a party materially breaches the agreement, they violate a term that is essential to the contract and usually results in serious harm.

• Non-material breach: This usually happens when a contract term that is not essential to the performance of the agreement is breached. It may be easier to negotiate a resolution to these types of disputes.

• Anticipatory breach: This occurs when one party threatens a breach either through words or actions.

What Are Some Common Employment Agreement Disputes?

Some of the most common employment disputes relate to situations in which:

• A party terminates the agreement early or for unfair reasons that violate the agreement

• A party fails to pay wages or benefits 

• The employee is accused of violating an unfair competition provision

What Are Remedies for Breach of Employment Contract?

The remedy may involve monetary damages for financial losses, such as when an employer owes compensation for lost wages or if an employee is found to have caused monetary harm to the employer by divulging confidential information. A court may also award equitable remedies, such as ordering the performance of a contractual term.

How Long Do You Have to Bring a Claim for Breach of Employment Contract?

Maryland law specifies that if a claim relates to the breach of a contract — including a breach of an employment agreement — a claim for that breach can be started three years after the breach.

Contact a Montgomery County, MD Employment Agreement Litigation Attorney

If you have reason to think that your employer has breached your employment agreement, one possible course of action will be to sue your employer for breach of that employment contract.

Lindsay Freedman represents clients as a Silver Spring, Maryland breach of employment agreement attorney. At Freedman Law, LLC, we provide hands-on representation while protecting your interests in employment agreement litigation. Call the office at 410-290-6232 for a confidential consultation today.