Supreme Court dismisses appeal; unauthorized manager's termination notice is valid unless ratified.
Legislator summary
AI generatedThe Supreme Court dismissed the cassation appeal filed by an employee against a bank's termination of his employment contract. The lower court had awarded damages because the president of the bank, acting alone, issued the termination notice while the company's representation required two signatories. The court ruled that the Supreme Court's established case law does not support a 'line of jurisprudence' allowing unauthorized managers to terminate contracts validly; instead, such errors lead to remedies like reinstatement or damages under Article 45 of the Labor Code.
Legislator headnote
AI generatedArt. 31 § 1 k.p.; Art. 45 k.p.: A violation of termination procedures by an unauthorized manager does not render the termination void ab initio but allows the court to grant damages or reinstatement upon the employee's request.