Contracts Keyed to Farnsworth
Feinberg v. Pfeiffer Co.
Facts
Feinberg (P) began working for Pfeiffer Co. (D), a manufacturer of pharmaceuticals in 1910, when P was 17 years old. There was no contract between P and D regarding P’s length of employment. P was free to quit and D was free to fire P at any time. In recognition of P’s long and faithful service, D increased P’s salary from $350/month to $400/month. P was also afforded the privilege of retiring from active duty at any time that she may elect and receive retirement payments from D in the amount of $200/month for the remainder of P’s life. P was immediately notified of her salary increase and pension plan. P testified that she had no prior knowledge of the pension plan and that she would have continued to work for D regardless. P did continue to work for D until June 30, 1949 when she retired. Her pension plan was a major factor in her decision to retire. D started paying P $200/month. Several years after her retirement, D notified P that her payments would be reduced to $100 per month. P refused to accept the reduced amount. D terminated all payments. P sued for breach of contract. Judgment for P. D appealed.
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