Employment Contract - At-Will - Montana

MONTANA NOTICE — AT-WILL STATUS IS LIMITED
Under the Montana Wrongful Discharge from Employment Act (“WDEA”), at-will termination applies during a valid probationary period. After that period, an employer generally must have “good cause” as defined by Mont. Code Ann. § 39-2-903, subject to the Act's scope and exemptions. This template is not a fixed-term agreement or collective bargaining agreement and must be reviewed by Montana counsel before use.

LEGAL NOTICE
This template is for general informational purposes only and is not legal advice. No attorney-client relationship is formed by its use. Counsel must confirm WDEA coverage, the probationary-period selection, written policies, compensation terms, and all other provisions for the specific employment.

PROBATIONARY AT-WILL / POST-PROBATION EMPLOYMENT AGREEMENT

(Montana)

TABLE OF CONTENTS

1. Document Header
2. Definitions
3. Employment, Duties & Compensation
4. Probationary Period & Separation
5. Confidentiality, Work Product & Protected Activity
6. Remedies
7. Risk Allocation
8. Dispute Resolution
9. General Provisions
10. Execution Block

1. DOCUMENT HEADER

This EMPLOYMENT AGREEMENT (this “Agreement”) is entered into as of [EFFECTIVE DATE] by and between:

• [EMPLOYER NAME], a [STATE OF ORGANIZATION] [ENTITY TYPE] with its principal place of business at [ADDRESS] (“Employer”); and
• [EMPLOYEE NAME], an individual residing at [ADDRESS] (“Employee”).

Employer and Employee are each a “Party” and together the “Parties.”

The Parties agree as follows in consideration of the compensation, benefits, and mutual promises stated here.

2. DEFINITIONS

“Confidential Information” means Employer's nonpublic business, technical, financial, customer, vendor, and trade-secret information. It excludes information that Employee can document (a) became public without Employee's breach, (b) was lawfully known to Employee without a confidentiality duty, or (c) was lawfully received from a third party without a confidentiality duty.

“Good Cause” has the meaning in Mont. Code Ann. § 39-2-903(5): reasonable job-related grounds for dismissal based on failure to perform duties satisfactorily, disruption of Employer's operation, a material or repeated violation of an express written policy, or another legitimate business reason determined by Employer using reasonable business judgment. The statutory limits on treating lawful off-premises, nonworking-hours product use as a legitimate business reason remain controlling.

“Probationary Period” means the period selected in Section 4.1, calculated under § 39-2-910.

“WDEA” means Part 9 of Chapter 2, Title 39 of the Montana Code Annotated.

“Work Product” means inventions, works of authorship, designs, developments, and other specifically identified work created within the scope of Employee's duties for Employer, subject to Section 5.3.

3. EMPLOYMENT, DUTIES & COMPENSATION

3.1 Position & Duties

(a) Position. Employee will serve as [JOB TITLE], report to [SUPERVISOR TITLE], and primarily work at [LOCATION].

(b) Duties. Employee will perform the duties in Exhibit A and other lawful, reasonably related duties assigned by Employer.

(c) Policies. Employee will comply with lawful written policies provided by Employer. Employer acknowledges that a material violation of an express written personnel policy before discharge can fall within § 39-2-904(1)(c). No handbook disclaimer overrides the WDEA.

3.2 Compensation

(a) Base Pay. Employer will pay Employee [AMOUNT] per [PAY PERIOD], less deductions permitted by law.

(b) Wage Timing. Employer will pay earned wages as required by Mont. Code Ann. § 39-3-204. If no pay period or due date is established, § 39-3-204 presumes a semimonthly pay period.

(c) Direct Deposit. Employer may use direct deposit only with Employee's written or electronically recorded consent as § 39-3-204 provides. Employee is not required by this Agreement to accept direct deposit.

(d) Deductions. Employer will make only deductions permitted by § 39-3-204 or other controlling law. This Agreement is not authorization for a deduction from wages to cover an alleged loss, breach, debt, or indemnity claim.

(e) Bonus or Commission. [DESCRIBE PLAN, OBJECTIVE CONDITIONS, EARNING DATE, AND PAYMENT DATE, OR STATE “NONE.”] A separate plan controls only if identified here and provided to Employee.

3.3 Benefits, Leave & Expenses

(a) Employee may participate in benefit plans and leave policies for which Employee is eligible, subject to their controlling terms and applicable law.

(b) Employer will reimburse reasonable, properly documented business expenses under [EXPENSE POLICY].

(c) No vacation, separation, holiday, or other benefit is promised except as stated in this Agreement, an identified plan, or a written Employer policy.

4. PROBATIONARY PERIOD & SEPARATION

4.1 Select the Probationary Period

Complete one selection before Employee begins work:

• ☐ Specific period: The Probationary Period is [NUMBER] months beginning [START DATE]. The period and all extensions may not exceed 18 months.
• ☐ No probationary period: Employer establishes that there is no probationary period.

If Employer establishes neither a specific period nor no probationary period before or when Employee begins work, § 39-2-910 supplies a 12-month probationary period beginning on the first day of work. Employer may extend a period only before it expires, and the original period plus extensions may not exceed 18 months.

Unless Employer affirmatively elects otherwise in writing, a leave of absence of more than five consecutive working days, excluding holidays and vacations, is not counted as part of the Probationary Period under §§ 39-2-903(6) and 39-2-910(3).

4.2 During the Probationary Period

During a valid Probationary Period, either Party may terminate employment at will by giving the other Party notice, for any lawful reason or no reason, as § 39-2-904(2) provides. “Notice” here means communication that employment is ending; no advance-notice period is promised unless a separate signed provision expressly says so.

The WDEA's protections concerning retaliation for refusing to violate or reporting a violation of public policy, material violations of express written personnel policy, and termination solely for legal expression of free speech remain controlling as applicable.

4.3 After the Probationary Period

After Employee completes the Probationary Period, Employer will discharge Employee only for Good Cause or as otherwise permitted by controlling law. This Agreement does not characterize post-probation employment as at will.

Employee may resign by notifying Employer. Employer requests [NOTICE DAYS] days' advance notice as a professional courtesy, but the request does not authorize forfeiture of earned wages, a penalty, or an automatic damages award.

4.4 WDEA Scope and Exemptions

This template assumes Employee is not an independent contractor and is not covered by a written collective bargaining agreement or a written employment contract for a specific term. Section 39-2-912 exempts those specified-term and collective-bargaining discharges from the WDEA and also addresses discharges governed by another state or federal statute that provides a procedure or remedy for contesting the dispute. Counsel must determine the correct statutory route for each claim.

4.5 Final Wages

(a) For a separation not covered by subsection (b), Employer will pay all unpaid wages on the next regular payday for the pay period of separation or within 15 days after separation, whichever occurs first, through regular pay channels or by mail if Employee requests, as § 39-3-205(1) provides.

(b) If Employer separates Employee for cause or lays Employee off, unpaid wages are due immediately unless a written personnel policy extends payment to the next regular payday for that pay period or 15 days after separation, whichever occurs first. Any withholding based on alleged theft must satisfy every condition in § 39-3-205(3); this Agreement supplies no consent to such withholding.

(c) Employer will pay any other compensation or benefit required by a controlling agreement, plan, policy, or law.

4.6 Internal Discharge Appeal

If Employer maintains a written internal discharge-appeal procedure, Employer will provide the written or electronic notice and copy required by § 39-2-911(3) within 14 days after discharge. Nothing here shortens a statutory filing period or expands an exhaustion requirement beyond § 39-2-911.

5. CONFIDENTIALITY, WORK PRODUCT & PROTECTED ACTIVITY

5.1 Confidentiality

Employee will use Confidential Information only for Employer's lawful business and protect it from unauthorized disclosure while it remains confidential. This duty does not prohibit a disclosure authorized by Employer or protected or required by law.

5.2 Protected Reports and Communications

Nothing in this Agreement prohibits or requires advance notice or approval for Employee to:

• refuse to violate or report a violation of public policy within § 39-2-904(1)(a);
• report a suspected legal violation to or participate in a matter before a government agency;
• file or participate in an agency charge or investigation;
• testify truthfully or comply with legal process; or
• consult Employee's attorney.

Employee need not disclose to Employer the substance of a protected government communication. This Section does not authorize unlawful acquisition or access to information.

5.3 Work Product

Employee assigns to Employer the Work Product created within the scope of Employee's employment and specifically described in [IP SCHEDULE / INVENTIONS RIDER]. Employee will sign reasonable documents needed to confirm that assignment, at Employer's expense. Pre-existing or excluded material should be listed in [SCHEDULE]. Any broader invention assignment must appear in a separately signed rider reviewed by Montana counsel.

5.4 Federal Trade-Secret Immunity Notice

Under 18 U.S.C. § 1833(b), an individual is not criminally or civilly liable under federal or state trade-secret law for disclosing a trade secret (a) in confidence to a federal, state, or local government official, directly or indirectly, or to an attorney, solely to report or investigate a suspected legal violation; or (b) in a complaint or other document filed under seal in a lawsuit or other proceeding. An individual suing an employer for retaliation may disclose the trade secret to the individual's attorney and use it in the proceeding if filings containing it are made under seal and disclosure otherwise occurs only by court order. The statute's definition of employee includes contractors and consultants.

5.5 Restrictive Covenants

This Agreement imposes no post-employment noncompetition, customer or employee nonsolicitation, or noninterference covenant. Mont. Code Ann. § 28-2-703 makes a contract restraining a lawful profession, trade, or business void to the extent it falls outside the statutory exceptions. Any proposed restriction requires a separately signed rider and Montana-counsel review; confidentiality duties do not prohibit lawful competition or protected activity.

5.6 Return of Property

On request or separation, Employee will return Employer property, subject to lawful record-retention, protected-reporting, and litigation-preservation rights.

6. REMEDIES

6.1 Contract Remedies

Each Party may pursue proven damages and relief authorized by controlling law or an enforceable agreement. This Agreement does not predetermine a prevailing party, establish irreparable harm, waive a defense or bond requirement, or guarantee injunctive relief.

6.2 WDEA Remedies Preserved

Nothing in this Agreement limits or expands the WDEA remedies in § 39-2-905 or any remedy that another controlling statute provides. No salary-based liability cap, automatic liquidated damages, or general contractual fee award applies.

7. RISK ALLOCATION

7.1 Responsibility for Conduct

Each Party remains responsible to the extent provided by applicable law for that Party's own fraud, willful misconduct, and material breach. Employee has no general duty under this Agreement to defend or indemnify Employer, and Employer may not recover a claimed loss through a deduction not permitted by wage law.

7.2 Limitation of Liability

No contractual cap applies to earned wages or promised benefits, WDEA remedies, discrimination or retaliation remedies, statutory damages or penalties, attorneys' fees, benefit-plan rights, or liability that cannot lawfully be waived or limited. Any negotiated cap for a distinct commercial obligation must appear in a separately signed rider reviewed by Montana counsel.

7.3 Insurance

[OPTIONAL: “Employer will maintain workers' compensation and other insurance required by applicable law.”]

7.4 Emergencies

An emergency does not excuse earned-wage payment, the WDEA, or another duty that controlling law makes nonwaivable.

8. DISPUTE RESOLUTION

8.1 Governing Law

Montana law governs this Agreement, without regard to conflict-of-laws rules, except where controlling law requires otherwise.

8.2 Forum Selection

For claims the Parties may lawfully confine to a judicial forum, they consent to jurisdiction and venue in the state courts located in [COUNTY], Montana. Nothing restricts access to a government agency or a forum that controlling law makes available.

8.3 Arbitration (Optional Separate Rider)

Arbitration applies only if both Parties sign a separate rider identifying covered claims, preserving agency access and nonwaivable remedies, allocating costs lawfully, and providing a neutral process. Counsel must evaluate the rider with the WDEA and § 39-2-911.

8.4 Jury Trial Waiver (Optional Separate Rider)

Any jury waiver must appear in a separately signed rider reviewed by Montana counsel and applies only to the extent lawful and enforceable.

8.5 Injunctive Relief

A Party may request narrowly tailored provisional or permanent relief but must prove every requirement imposed by applicable law. This Agreement creates no presumption of harm or entitlement to equitable relief.

9. GENERAL PROVISIONS

9.1 Amendment & Waiver

An amendment or waiver must be in a writing signed by both Parties. A waiver on one occasion is not a waiver on another. No amendment or waiver alters a statutory rule that the Parties cannot privately change.

9.2 Assignment

Employee may not assign duties under this Agreement. Employer may assign this Agreement to a successor by merger, reorganization, or sale of substantially all relevant assets, subject to applicable law.

9.3 Severability

If a provision is held invalid or unenforceable, it will be severed or enforced only to the lawful extent permitted by the controlling tribunal, and the remainder will continue in effect. This clause does not require a tribunal to rewrite a provision.

9.4 Integration

This Agreement and its identified exhibits and riders constitute the Parties' entire agreement on its subject matter. Employer policies remain relevant to the extent the WDEA or another controlling law gives them legal effect. A benefit plan's controlling document governs that plan if this Agreement conflicts with it.

9.5 Notices

Notices under this Agreement must be written and delivered by personal delivery, nationally recognized overnight courier, certified U.S. mail with return receipt requested, or email with confirmed receipt, to the addresses on the signature page or an updated address given by notice. Notice is effective on receipt, except where controlling law specifies another method or time.

9.6 Counterparts; Electronic Signatures

The Parties may sign counterparts and may use an accepted electronic-signature process to the extent they consent and applicable law permits.

10. EXECUTION BLOCK

IN WITNESS WHEREOF, the Parties have executed this Agreement as of the Effective Date.

EXHIBIT A – JOB DESCRIPTION

[Attach duties, reporting lines, and performance expectations.]

EXHIBIT B – BONUS / COMMISSION PLAN

[Attach or identify the controlling plan, if any.]

SCHEDULE – PRE-EXISTING AND EXCLUDED MATERIAL

[List material Employee identifies as pre-existing or excluded.]

Sources and References

• Mont. Code Ann. § 39-2-903
• Mont. Code Ann. § 39-2-904
• Mont. Code Ann. § 39-2-905
• Mont. Code Ann. § 39-2-910
• Mont. Code Ann. § 39-2-911
• Mont. Code Ann. § 39-2-912
• Mont. Code Ann. § 39-3-204
• Mont. Code Ann. § 39-3-205
• Mont. Code Ann. § 28-2-703
• 18 U.S.C. § 1833