When an Employer Demotes an Employee or Otherwise Unilaterally Changes

question 93

Multiple Choice

When an employer demotes an employee or otherwise unilaterally changes the nature of the job, this may constitute ________, and the employee may be able to sue for wrongful dismissal.

• A) fiduciary duty
• B) constructive dismissal
• C) just cause
• D) reasonable notice
• E) wrongful dismissal

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Definitions:

Involuntary Dissolution

The legal termination of a corporation's existence without the consent of the corporation, often initiated by a government authority.

Personally Liable

A situation where an individual is responsible for a debt or obligation from their own assets, rather than the liability being limited to business or corporate assets.

Public Corporation

A company whose shares are traded freely on a stock exchange or markets, owned by public shareholders, and subjected to regulatory reporting requirements.

Model Business Corporation Act

A uniform set of laws that is designed to regulate the formation, operation, and dissolution of corporations, adopted by many U.S. states to facilitate business.