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2. What is the basis of the dispute? How did it start and why
did it escalate to litigation?
ANSWER:
It is the promise of a two year employment contract offered by CCC to Kassie. It
escalated to litigation because CCC terminated her services shortly.
a) Promissory Estoppel
- The motion to dismiss filed by the defendant to this claim was granted with
prejudice because Promissory Estoppel, under Illinois Law, serves as a
substitute for a consideration in a contract. However, the court ruled that the
detriment incurred by the plaintiff in reliance on the promise of a two-year
contract with Clear Channel, she resigned her position and relocated from
Chicago to Minneapolis, is enough to establish consideration and thus render
promissory estoppel inapplicable.
b) Intentional Misrepresentation
- The motion to dismiss filed by the defendant to this claim was denied because,
as ruled by the court, Promissory fraud is actionable in Illinois only “where the
false promise or representation is the scheme or device to accomplish the
fraud.” This applies where “a party makes a promise of performance, not
intending to keep the promise but intending for another party to rely on it, and
where the other party relies on it to its detriment. When CCC did not make good
with its promise to giving the Plaintiff a two year contract, there was Promissory
Fraud that falls under Intentional Misrepresentation.
c) Negligent Misrepresentation
- The motion to dismiss filed by the defendant to this claim was granted with
prejudice because Dargo did not allege any physical injury or property damage for
Negligent Misrepresentation to be actionable. Further, the court ruled that Negligent
Misrepresentation Illinois does not recognize a cause of action for negligent
misrepresentation in the employment context.
d) Intentional Infliction of Emotional Distress
- The motion to dismiss filed by the defendant to this claim was granted with
prejudice because for Intentional Infliction of Emotional Distress to be
actionable, it must satisfy the exceptional requisites set for under The Illinois
Workers’ Compensation Act Preemption. Under the said act, for IIED to be
actionable, the injury caused by it should be: 1) when the injury was not
accidental; 2) when the injury did not arise from employment; 3) when the
injury was not received during the course of employment; and 4) when the
injury is not compensable under the act. Furthermore, the court ruled, to state
a cause of action for IIED under Illinois law, Dargo must allege: 1) extreme
and outrageous conduct; 2) that the actor intended that his conduct cause
severe emotional distress or at least was aware of a the high probability that
his actions may cause severe emotional distress; and 3) that the actions
actually caused severe emotional distress. None of those satisfy Dargo’s
claims.