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Cedric Inkspot is a talented chemist at Test Tube City Laboratories. Under his guidance the lab has been very successful in attracting research grants and government contracts. His 5 year contract with the lab was about to expire on 30 June. In late February he was sounded out by head hunters (an employment agency) for the chief chemist position at a rival lab. If he took the job it would require relocating his family interstate, requiring his wife to find a new job and new schools for his kids.
In 1 March Cedric approached Uriah the chief chemist at Test Tube City and told him about the discussions he had with the head hunters. Cedric said it is a good offer Uriah but I would rather not disrupt the wife and kids. Uriah replied, Cedric you are an important part of the team. You have played a big part in our success and we are keen to keep that going.
Cedric formed the impression from this that Test Tube City planned to extend his contract for the next five years. He replied, Great to Uriah and then shortly after telephoned the head hunters and explained that he was not interested in the proposal. He then returned to work with Test Tube City and did not raise the matter again.
On the 25th June Uriah took Cedric aside and told him that because of liquidity problems they were retrenching large numbers of staff and would have to let Uriah go. Cedric was forced to look for other work which after some time he did obtain but for far less money than he was on. However at least his wife and children were not disrupted.
Advise Walter whether he is entitled to damages from Test Tube City.
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