Legal Question in Business Law in Indiana
Employment Contracts
Is there a specific contractual provision that would ensure that my contract would be honored in the event the radio station is bought out or does not survive the length of my contract?
1 Answer from Attorneys
It's PROBABLY the "default".
You'll have to have a lawyer examine the contract to be more sure of what rights it givesyou. By the way, I ALWAYS advise people to seelawyers about employment contracts BEFORE theyare signed and finalized because a) they OFTEN do not do what the employee thinks, b) the employer'slawyer who drafted them is trying to protect onlythe employer and gives the employer every possibleout they can, even though it may appear evenhanded;they may seem that way by putting in stuff that a judge would give an employee anyway if push came toshove, and c) because they are quite frequently "used"in that the relationships sour and someone wants outfar more than in most other kinds of contracts.
Back to your original question: if the radio stationis a legal entity, i.e., a partnership or a corporation,then a buyer of the entity (OR by extension under moststates' laws, if nothing to the contrary is said in thecontract, a buyer of most of the assets of the entity who continues the business) 'buys' the contract obligationsas well. However, if the contract merely lists the owner'sname as the employer, or, worse, a manager who is not theowner, you may not have rights against the new owners in the event of a purchase or take-over.
Please see a lawyer before you sign if it's not too late.