Larsen v. Motor Supply Co.

OPINION

EUBANK, Judge.

This appeal deals with an employer’s right to discharge employees working under employment contracts of indefinite duration.

The appellants, James P. Larsen and Donald C. Jacobs, were employed by the appellee, Motor Supply Company, for several years. Neither appellant had a written employment contract; both understood that their employment was terminable at will. In May of 1974, Motor Supply Company announced a new policy of requiring all employees to submit to a “psychological stress evaluation test.” This test was similar to a lie detector test, and was performed by…