Automatic Renewal And Unfair Termination: Case Summary

The judgement Brian Schembri v National Orchestra Limited, decided by the First Hall, Civil Court by Onor Imhallef Dr. Giovanni M Grixti, on the 30th of September 2024 tackled the situation of the termination of an employment contract following the option of its automatic renewal. Where the duration of a fixed term contract lapses and may be automatically renewed, the employer has a duty to abide by the original terms stipulated in the original employment contract. In this case, the issue namely arose when the defendant company  decided on new terms of employment, to which the employee disagreed with, therefore bringing about the fallout of the employment relationship which existed among the parties.