As for the legalities, she has a slam dunk case. The real dispute here is not really whether she will get the car; that is a done deal. The real dispute is who will get to decide who and how much more money she will get for additional damages.
ConservativeLawyer, What is your take on what is really at issue here?
Another factor is agency. Was the person who promised her the car authorized to act as an agent for the owners? Perhaps under the terms of her employment contract she was made aware that the sales manager couldn't bind the company to such a deal. Yet she relied on him despite reading in the manual that he couldn't deliver on any promises made on behalf of his employer. Isn't there an expectation on her to find out the terms and conditions of such a contest?
Obviously the guy thought he was playing a joke. But IMHO a bad joke is not an intention to commit fraud. Literally, he may win, since she technically won a toy yoda. But, I suppose some compensation is due..not much... perhaps $1 a glass or something. But as I said, it would be cheaper for the owners to just buy her a Toyota than to pay a retainer in this case.
Ms. Berry has won the first round on the threshold issue: i.e. whether she gets a jury trial or will she be forced to arbitration.
Arbitration clauses are generally enforceable, but in this case the article reads:
Company lawyers filed a motion to dismiss saying employees agree when hired to TRY TO settle disputes through mediation or arbitration before suing.
I don't know whether that is just sloppy writing on the part of the AP or whether the clause only requires that the parties "try" to settle the dispute before suing.
That doesn't sound very binding to me. Its an agreement to agree. One would expect a good binding arbitration clause to mandate arbitration for all disputes arising out of or relating to employment and expressly waive the right to a jury trial. Otherwise, why give the plaintiff a choice between arbitration (usually with a binding result, but not necessarily) and mediation (never binding result unless agreed by the parties at mediation)? And why say "before suing" if you don't contemplate a lawsuit if the "trying" fails?
Lastly, Ms. Berry's lawyer could argue that this promotion was a whole new contract that superseded the previous agreement, and therefore not bound by the arbitration provision.