Beckman asserts that the hearing officer, instead of making the correct finding, created a presumption that Beckman knew the law about payment of wages and held Beckman did not rebut this presumption. Beckman contends that this rebuttable presumption violates the rule established in Weinzirl v. The Wells Group, Inc., 234 Kan. 1016, 677 P.2d 1004 (1984). In assessing the penalty, the hearing officer acknowledged his previous conclusion that Beckman's refusal to pay was contrary to law.
Parties have wide discretion in fixing the terms of employment contracts, and when the employment contract is not contrary to the law or unreasonable in terms, it should be honored and enforced by the courts. Weinzirl v. Wells Group, Inc., 234 Kan. 1016, 1019, 677 P.2d 1004, 1008 (1984). Kansas law permits an employer to impose a condition precedent on its obligation to pay an employee for wages; once an employee's right to earn wages becomes absolute, however, a condition subsequent cannot impose a forfeiture.
The Kansas Supreme Court in construing the Kansas wage statutes has stated that "[i]n determining the rights which occur under an employment contract, the entitlement thereto or eligibility therefor, the terms of the contract control so long as they are not unreasonable or illegal." Weinzirl v. Wells Group, Inc., 234 Kan. 1016, 677 P.2d 1004, 1008 (1984); see Sweet v. Stormont Vail Regional Medical Center, 231 Kan. 604, 647 P.2d 1274, 1275 ¶ 1 (1982) (syllabus by the court); see also Mid America Aerospace, Inc. v. Department of Human Resources, 10 Kan. App. 2d 144, 694 P.2d 1321, 1324 (1985). Kansas law permits an employer to impose a condition precedent on its obligation to pay an employee for a benefit; however, once an employee's right to a benefit becomes absolute, a condition subsequent cannot impose a forfeiture.
Appellate courts generally enforce contracts according to their terms unless the terms are unreasonable or contrary to the law. Weinzirl v. The Wells Group, Inc., 234 Kan. 1016, 1019, 677 P.2d 1004 (1984); Doan Family Corp. v. Arnberger, 62 Kan.App.2d 769, 773, 522 P.3d 364 (2022).
In construing the above statute, the Kansas Supreme Court has held that "[i]n determining the rights which occur under an employment contract, the terms of the contract control so long as they are not unreasonable or illegal." Weinzirl v. Wells Group, Inc., 234 Kan. 1016, 1019, 677 P.2d 1004, 1008 (1984). Further, although Kansas law permits an employer to impose a condition precedent on its obligation to pay an employee wages, once an employee's right to earned wages becomes absolute, a condition subsequent cannot impose a forfeiture.
People have "wide discretion" to determine the terms of their agreements, including in employment contracts. Weinzirl v. Wells Group, Inc. , 234 Kan. 1016, 1019, 677 P.2d 1004 (1984). Courts have a corresponding duty to honor and enforce employment contracts as they are written, as long as they are "not contrary to the law or unreasonable in [their] terms."
A condition precedent is "'something that is agreed must happen or be performed before a right can occur to enforce the main contract.'" M West, Inc. v. Oak Park Mall, L.L.C., 44 Kan.App.2d 35, 46-47, 234 P.3d 833 (2010) (quoting Weinzirl v. The Wells Group, Inc., 234 Kan. 1016, Syl. ¶ 3, 677 P.2d 1004 [1984]). There are two types of conditions precedent: those related to the formation of the contract itself and those related to the obligation to perform under an existing contract.
Thus, a condition precedent is simply "something that is agreed must happen or be performed before a right can occur to enforce the main contract." Weinzirl v. The Wells Group, Inc., 234 Kan. 1016, Syl. ¶ 3, 677 P.2d 1004 (1984). Under our Supreme Court's definition, the presence of a condition precedent does not stymie the formation of a contract, but rather becomes part of the contract itself.
As noted above, it is well established that "willfulness" is a question of fact. Holder, 224 Kan. at 411, 582 P.2d 244; see Weinzirl, 234 Kan. at 1024, 677 P.2d 1004 (Herd, J., concurring and dissenting). The agency's finding of willfullness should be upheld where facts are stated to support the finding and the agency applied the correct legal standard.
The Supreme Court has recently defined a "willful violation" under K.S.A. 44-315(b) as "one indicating a design, purpose, or intent on the part of a person to do wrong or to cause an injury to another." Weinzirl v. The Wells Group, Inc., 234 Kan. 1016, Syl. p 4, 677 P.2d 1004 (1984). See Holder v. Kansas Steel Built, Inc., 224 Kan. 406, 411, 582 P.2d 244 (1978).