Facts

The case concerns the termination of the employment of a deputy director, Mr. X., employed by Y.-Versicherung. Mr. X. was hired in 1976 as a lawyer and was appointed deputy director in 1986. On July 7, 1998, his superior, Mr. Z., terminated his employment contract with effect as of June 30, 1999. Mr. X. contested the termination, arguing that only the board of directors was competent to terminate his contract and not the management.

The key facts are as follows

  • Mr. X. was hired in 1976 as a lawyer by Y.-Versicherung.
  • He was appointed deputy director in 1986.
  • On July 7, 1998, his superior, Mr. Z., terminated his employment contract with effect as of June 30, 1999.
  • Mr. X. contested the termination, arguing that only the board of directors was competent to terminate his contract.

Considerations

The Federal Court examined the question of competence to terminate the employment of a deputy director. It considered that the termination of the employment of a deputy director is a decision that falls within the competence of the management, and not the board of directors.

The Federal Court also examined the question of the regularity of the termination procedure. It considered that the termination was regular, as it had been carried out by a superior with…