Law for Business 12th Edition by James Barnes,Terry Dworkin,Eric Richards

Exercise 2

Video Case: See "Martin Manufacturing." Mr. Martin, the president of Martin Manufacturing, fires a purchasing agent named Mitch because Mitch has been taking kickbacks from suppliers. Martin also withholds Mitch's last paycheck until Martin can determine how much Mitch's misbehavior has cost him. Has Mitch breached any fiduciary duties to Martin? If so, identify which ones. Will Mitch be required to give Martin the amount of any kickbacks he has received? Can Martin fire Mitch under these circumstances without incurring liability? Finally, is Martin legally justified in withholding Mitch's paycheck?