Valeo v. J. I. Case Co.

Entitlement to vacation pay is a matter of contract.

The basic problem in this case arises because the termination date in the collective-bargaining agreement is February 29th and the eligibility date for determining vacation rights is June 1st. The agreement contains no provision which expressly solves the problem.

The agreement, by its terms, was capable of perpetual existence, but either party was free to terminate it as of the last day of February of 1960 or any subsequent year. If ever so terminated, the present problem was bound to arise. Would the employees who had performed service…