Horvath v. Review Board of the Indiana Employment Security Division

503 N.E.2d 441, 1987 Ind. App. LEXIS 2351
CourtIndiana Court of Appeals
DecidedFebruary 4, 1987
Docket2-1185-A-372
StatusPublished
Cited by9 cases

This text of 503 N.E.2d 441 (Horvath v. Review Board of the Indiana Employment Security Division) is published on Counsel Stack Legal Research, covering Indiana Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Horvath v. Review Board of the Indiana Employment Security Division, 503 N.E.2d 441, 1987 Ind. App. LEXIS 2351 (Ind. Ct. App. 1987).

Opinion

BUCHANAN, Judge.

CASE SUMMARY

Appellant-claimant Charles H. Horvath (Horvath) appeals from a decision of the Review Board of the Indiana Employment Security Division (Review Board) denying him unemployment compensation benefits. Horvath claims that he is entitled to benefits under the Indiana Employment Security Act because he voluntarily left his employment with Indiana University to accept previously secured work with another employer which offered better wages.

We reverse.

FACTS

The relevant facts indicate that Horvath, while employed at Indiana University, received a job offer from Keith Hamm (Hamm), the treasurer of Fine Print. Fine Print offered better wages and hours, so Horvath terminated his employment with Indiana University on February 22, 1984 in order to commence work at Fine Print by March 1, 1984. Economic conditions pre *442 vented him from actually receiving the job until June 18, 1984. He was later laid-off by Fine Print.

Horvath filed a claim for unemployment compensation benefits on April 11, 1985. On May 8, 1985, the claims deputy of the Indiana Employment Security Division denied Horvath benefits. Horvath then requested and received a hearing before a referee. On June 11, 1985, the referee affirmed the decision of the deputy. Hor-vath appealed to the Review Board which affirmed the referee's decision and adopted the following findings of fact and conclusion:

"FINDINGS OF FACT: The evidence presented indicates that the facts are as follows: [Horvath] was employed by [Indiana University] from November 19, 1982 until February 22, 1984. At the time of separation, [Horvath] was working as a guard at the Fine Art[s] Museum, 20 hours per week.
The Referee further finds that [Horvath] had talked to Fine Print about going to work for them and had been told that there would be a job for him which he would be starting no later than March 1, 1984. [Horvath] quit his employment with [Indiana University] to begin with Fine Print, and then found out that due to monetary problems, there was no position available as of March 1, 1984. Fine Print told him when the economic situation improved, he would be starting with them, and [Horvath] finally started on June 18, 1984 at Fine Print. [Horvath] decided to go to Fine Print because they paid $5.00 per hour compared to around $3.65 per hour at the museum and he would be working 30 hours per week as compared to 20 hours per [week] at the Museum.
"CONCLUSION: The Referee concludes that [Horvath] voluntarily left his employment without good cause in connection with the work within the meaning of [Ind.Code 22-4-15-1 (1986)]. The evidence of record is sufficient for the Referee to conclude that [Horvath] quit his employment with Indiana University because he felt that he would be beginning work with Fine Print and that work would have offered [Horvath] a reasonable expectation of better wages and hours. [Horvath's] attorney argued that this falls within [IC 22-4-15-1(d)(1)] 1 which states that 'an individual shall not be subject to disqualification because of separation from his prior employment if he left to accept with another employer previously secured permanent full-time work which offered reasonable expectation of betterment of wages or working conditions and thereafter was employed on said job for not less than ten weeks.' The Referee must concluded [sic] that the offer of employment made to [Hor-vath] was so vague that the job was not actually secured. There had been a promise of employment at some date in the future but no definite starting date had been given. The Referee concludues [sic] that since there was nothing definite, the job was not previously secured within the meaning of the Act."

Record at 37-88.

ISSUE

Horvath raises one issue for our review: Is the Review Board's conclusion contrary to law?

DECISION

PARTIES CONTENTIONS: Horvath contends that IC 22-4-15-1(d)(1) is applicable because he terminated his prior employment at Indiana University after he had accepted an express and authoritative offer of permanent and better paying work with Fine Print.

The Review Board responds that Hor-vath did not have a definite starting date for his position at Fine Print and thus voluntarily terminated his employment at Indiana University without good cause, rendering him ineligible for unemployment compensation benefits.

*443 CONCLUSION: The Review Board's con-elusion, that Horvath's offer of employment was not "previously secured" because it did not contain a definite starting date, is erroneous.

Indiana law provides that when persons voluntarily terminate their employment without good cause, they are disqualified from receiving unemployment compensation benefits. IC 22-4-15-1(a) However, an exception to disqualification of benefits is provided when persons leave their prior employment to accept with another employer "previously secured permanent full-time work which offered reasonable expectation of betterment of wages or working conditions and thereafter [were] employed on said job for not less than ten (10) weeks...." IC 22-4-15-1(d)(1). No Indiana authority interprets the meaning of "previously secured" employment. That language was added to the statute in 1967 as a result of 1967 Ind.Acts, c. 810, s. 19. However, DeVillez v. Review Bd. of Ind. Employment See. Div. (1965), 136 Ind.App. 642, 204 N.E.2d 369, provides some guidance, even though the decision preceded the change in the statute.

In DeVillez, supra, the claimant terminated his employment as a bicycle messenger based on the promise of employment at a furniture factory by a man whom the claimant thought was the foreman at that factory. The claimant was told by the man to "come in the following Monday, that a guy was going into service...." Id. at 646, 204 N.E.2d at 371. The appellate court reasoned that the denial of unemployment compensation benefits to DeVillez was proper because:

"for one to resign from a job in reliance on a promise of other employment, that promise must have some express and authoritative prospect of future employment before terminating the present employment. In this case appellant's prospect of employment is based on the promise of a man whom appellant had never met and knew only by the name 'Tiny', who claimed to be a foreman at the furniture factory,.... Thus appellant's prospect of other employment was too speculative and unauthorita-tive to justify his hasty resignation, in view of the fact that appellant had several days from the time of his promise of employment by the alleged foreman, in which he could have, and we feel should have as a reasonable man, made inquiry as to the authority of the alleged foreman to grant employment or, in the alternative, appellant could have requested further assurance from the furniture company itself."

Id. at 646-47, 204 N.E.2d at 371. (Emphasis supplied).

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