Shirley MacLaine Parker refused to mitigate damages by accepting an alternative role after Fox breached its contract on another film. The issue is whether the refusal is reasonable since the substitute film is substantially different and inferior from the original K film.
The court states that there is an obligation to mitigate generally, but not when the alternative is different or inferior as in this case. Different or inferior is decided by a reasonableness objective standard – by a similarly situated employee. There was evidence in the contract that Fox contemplated her refusing the alternative. Economic efficiency requires mitigation, but fairness may deem mitigation harmful to the employee.
Dissent: Difference between two jobs in the same field is insufficient to excuse mitigation. The issue should be decided as a factual question by a jury.
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