UNDT/2011/210, Philippi
The Tribunal finds that the circumstances appertaining at the time of recruitment of the Applicant created a legal expectancy of renewal. The decision not to renew the Applicant’s contract was arrived at in breach of her rights to due process. The Applicant is entitled to compensation for losses incurred as a direct consequence of the non-renewal of the contract subject to the duty to mitigate.
Decision not to renew the Applicant’s fixed-term appointment.
It is settled law that the terms and conditions of employment of the staff member are not limited to those set out in writing. They may be expressed or implied, and may be gathered from correspondence and surrounding facts and circumstances. Fixed-term appointments do not carry any automatic right of renewal. However, the specific facts and circumstances of a case may create a legal expectancy of renewal, producing rights for the staff member concerned. Staff members serving under fixed-term contracts have no contractual right to renewal of their contracts and their employment ceases automatically without prior notice on the date of expiry of the fixed-term contract unless, of course, there are, in the circumstances of the particular case, what have been described as “countervailing circumstances”. Such circumstances may include an abuse of management discretion or an express promise by the administration, thereby creating a legal expectancy that the appointment will be extended. The burden of proof of arbitrariness, prejudice or other improper motive rests with the applicant.