This section contains the nature of the case and procedural background.

McDonald (P) worked as a mine technician for Mobil (D). In June 1988, P was forced to resign over rumors that he had sexually harassed a female coworker. P contends that he was actually dismissed and given the choice of resigning or being fired. During trial, the court granted summary judgment against P and P appealed contending that the employee handbook constituted a valid contract sufficient to modify the terms of P's at will contract. Upon employment, D signed a statement that his relationship with D was that of an at will contract. The employee handbook stated it would have a Fair Treatment Procedure to resolve differences and a progressive disciplinary procedure, which could be disregarded by D at its discretion. The summary judgment was reversed and remanded for a determination of whether the principle of promissory estoppel applied to the facts of the case.

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