Facts
On 25 March 1983, K. concluded an employment contract of indefinite duration with W. AG, which was supplemented by an "individual foreign contract". This supplementary contract provided for K.'s employment in Iraq from 17 January 1984 to 16 January 1987.
In July 1985, W. AG ordered the early return of K. from Iraq by 31 December 1985 for business reasons. K. protested against this, as the individual foreign contract was valid until 16 January 1987. In December 1985, K. returned to Switzerland with his family. On 3 February 1986, he was summarily dismissed.
K. filed a lawsuit against W. AG, claiming CHF 102,152.95. The Labor Court and the High Court of the Canton of Zurich dismissed the claim. K. then appealed to the Federal Supreme Court.
Considerations
The Federal Supreme Court concluded that K.'s summary dismissal by W. AG was unjustified. While K. had made inaccuracies in connection with an expense report, which were generally capable of undermining the relationship of trust, the lower courts did not take into account the special situation in which K. found himself after his early recall from Iraq. He had initially been verbally assured that the additional benefits would continue to be paid even during the time without foreign assignment, which the defendant later revoked.
Furthermore, the defendant should not have summarily dismissed K., as the individual foreign contract had a fixed…