Void Contracts: Court Nullifies CFO’s Employment Because of Prior Extortion Conviction
The doctrine of void contracts arose recently in an employment case in Florida, Griffin v. ARX Holding Corporation, writes
In that case, the plaintiff, Nicholas Griffin, had a prior conviction for extortion. ARX Holding hired him as its chief financial officer in 2009. But under federal law, an individual commits a crime if he has been convicted of a felony involving dishonesty and then willfully participates in the insurance business. Knott explains that Griffin could have obtained a waiver from insurance regulators, but he was unable to do so.
ARX fired Griffin, who sued, seeking an unpaid $215,000 bonus. But a court ruled that his employment contract was void from the outset.
