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Week One Business Law

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Week 1 assignment
9.4 Business Ethics Loren Vranich, a doctor practicing under the corporate name Family Health Care, P.C., entered into a written employment contract to hire Dennis Winkel. The contract provided for an annual salary, insurance benefits, and other employment benefits. Another doctor, Dr. Quan, also practiced with Dr. Vranich. About nine months later, when Dr. Quan left the practice, Vranich and Winkel entered into an oral modification of their written contract whereby Winkel was to receive a higher salary and a profit-sharing bonus. During the next year, Winkel received the increased salary. However, a disagreement arose, and Winkel sued to recover the profit-sharing bonus. Under Montana law, a written contract can be altered only in writing or by an executed oral agreement. Dr. Vranich argued that the contract could not be enforced because it was not in writing. Does Winkel receive the profit-sharing bonus? Did Dr. Vranich act ethically in raising the defense that the contract was not in writing? Winkel v. Family Health Care, P.C., 205 Mont. 40, 668 P.2d 208, Web 1983 Mont. Lexis 785 (Supreme Court of Montana) (Cheeseman 2010, p. 158) Cheeseman, H. (2010). Business Law: Legal Environment, Online Commerce, Business Ethics, and International Issues. Upper Saddle River: Pearson Prentice Hall.

Issue
Under Montana law, a written contract can be modified only in writing or if an oral agreement had been executed. Was the oral agreement between Vranich and Winkel executed? Is the contract unenforceable? Did Vranich act ethically by raising the issue of the modification of the contract not being in writing? Is Winkel entitled to the profit sharing?
Proposed Solution and Justification
After reviewing the course material for the week lecture and textbook included I would

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