Van Steenhouse Vs Jacor Summary

I. Issue:

Jacor owns and operate a radio station, (85 KOA). Andrea Van Steenhouse is a radio personality and psychologist who signed a three year deal with Jacor Broadcasting stating: (1) She was to perform on air from 2pm to 4pm, Monday through Friday. (2) She was to receive a base salary, increasing every year. (3) She also was to receive a performance bonus based on KOA’s during audience on that show. Jacor acquired the rights to broadcast Rush Limbaugh, during the 2pm to 4pm time slot. Jacor and Van Steenhouse could not come to agreement on a schedule and Van Steenhouse sued Jacor and KOA’s General Manager, among other things, breach of contract and violation of the Colorado Wage Claim Act (the WCA).

II. Facts

(1) The deal between Jacor and Van Steenhouse stated that Van Steenhouse was not able to broadcast for any other radio station in the Denver area for 180 days if she ended the deal. Second, she could only work for KOA during the agreement. Third, Jacor had the right to terminate the agreement and let Van Steenhouse go on only thirteen paid weeks worth of compensation.

(2) Instead of exercising the right to let Van Steenhouse go. Jacor paid her until the agreement ended.

(3) Van Steenhouse eventually dropped the WCA case against KOA. As a result Jacor argued that it was the winning party in that matter and was entitled to attorney fees. Van Steenhouse states she dropped the claim before the trial, and Jacor states it wasn’t dropped until after she brought her case to trial. However, according to record, the claim was never formally dropped and it is not clear when the case was dropped by Van Steenhouse.

(4) Normally an employment contract does not necessarily mean an employer has to find work for an employee. See Colvig v. RKO General Inc. However, in the case it was stated that and obligation can be inferred from the “circumstances of the agreement”. Specifically, and obligation is inferred if the employee personally benefits from the work. The court stated that an employee could benefit from the work by gaining a skill or reputation. In the case of public performers there reputation will be enhanced or diminished by whether or not they make appearances.

III. Decision

The court ruled in favor of Van Steenhouse for breach of contract against Jacor broadcasting of Colorado. They also held that neither party is qualified as a “winning party”; as such neither party is entitled to attorney