Case Digest (G.R. No. 13699)
Facts:
G. Martini (Ltd.) v. J. M. Glaiserman, G.R. No. 13699. November 12, 1918, the Supreme Court En Banc, Fisher, J., writing for the Court.In September 1915 G. Martini (Ltd.) (plaintiff-appellant) and J. M. Glaiserman (defendant-appellee) executed a three-year employment contract under which Glaiserman agreed to serve exclusively and follow his employer's directions. The contract did not fix the precise character of services. Clause Two contained a post-employment restraint: if Glaiserman did not renew, he would not "engage in any business either for himself or others similar to the business carried on by his present employer, or in which his employer may be engaged at that time" for one year, and would pay £400 as liquidated damages for breach; it also waived defenses and authorized injunctive relief. Clause Six allowed the employee to tender resignation where the employer rendered the relation "difficult or disagreeable," making such resignation effective six months after filing (or earlier if the employer desired), but stated that "conditions of section two (2) of this agreement will bind good."
Glaiserman worked for the plaintiff until July 1, 1917, when he left and shortly after joined Dyogi & Co. He testified he left because of insulting treatment by plaintiff's managing director; the Court found his refusal to continue was justified. Plaintiff sued to enforce the covenant and recover the liquidated damages; the lower court decided for the defend...(Subscriber-Only)
Issues:
- Did Glaiserman's resignation, tendered under clause six because of the employer's conduct, relieve him from the obligations of the post-employment restraint in clause two?
- Is clause two — the one-year prohibition against engaging in any business similar to plaintiff's multiple enterprises, with a £400 liquidated-damages provision and waiver of defenses — a valid and ...(Subscriber-Only)
Ruling:
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Ratio:
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Doctrine:
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