Aldabe Fermin v Standard Chartered Bank

Australian law does not recognise an implied duty of mutual trust and confidence in employment contracts, departing from the UK position in Malik v BCCI.

The High Court considered the implication of terms into employment contracts, including whether a term of good faith or fair dealing could be implied at common law to constrain unfair dismissal.

An employer must not exercise contractual discretion irrationally or in bad faith; HK leading authority equivalent to Braganza on implied limitations on contractual discretion.