An Administrator's Guide to California Private School Law

Chapter 4 - Employment Contracts And Separation Of Employees

later point in time, the employment contract should inform the employee that the school does not guarantee the renewal of a contract or future employment. This section should state the school reserves the right, in the sole discretion of the Head of School, to decline to offer the employee a renewal contract. If the school elects to renew the contract, the parties will proceed to negotiate in good faith over the terms of the new contract during the notice period. Alternatively, some employment contracts provide for automatic renewal, known as “evergreen clauses.” In this situation, upon expiration of a contract with automatic renewal, the contract is automatically renewed for a new duration. Automatic renewals can be risky, however, and schools should be cautious when including them in any contract. If an employee who has a contract with automatic renewals is dismissed and it is later determined that the termination was wrongful, contract damages could be awarded for a prospective period from the date of termination forward. 423 L. I NTEGRATION C LAUSE A contract that has been adopted as the final expression of the agreement between the parties is called an “integrated contract.” This is typically accomplished by including an “integration clause” in the contract, which evidences the parties’ intent that no additional or varied conditions exist beyond the written terms of the agreement and any other documents that are specifically made part of the agreement. Although the employment contract will generally govern the employment relationship, other documents may legally alter or supplement the employment agreement. Documents such as the employment handbook, faculty/staff handbook and other policies will often be integrated or referenced as a part of the employment relationship and therefore become a part of the employment contract or agreement. While this practice is common and generally recommended, schools must be careful to ensure that these documents integrate in the intended manner and do not either conflict or create new and unanticipated rights and benefits. Although handbooks will often contain important information and responsibilities for employees, they sometimes provide benefits that do not apply to all employment contracts. A common example of this is the inclusion of vacation provisions in the faculty and staff handbook that only apply to non-teaching staff. If the language of this section does not clearly establish that it applies only to non-teaching staff, a teacher may argue that he or she is entitled to vacation. Since contract ambiguities are generally construed against the maker of the contract, 424 schools must carefully review and integrate these documents. M. R ETURN O F S CHOOL P ROPERTY This provision requires that an employee, upon separation from employment, regardless of whether the separation was for cause or without cause, return all school property within a certain, reasonable time period. Examples of school property include school-related documents, records, directories, notebooks, computer hardware and software, electronic files, electronic media, and keys to school property or transportation vehicles. In some cases, employers will also require that a separated employee delete any school related information from his or her personal computer, and certify in writing that he or she has complied with this requirement. School-

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