Spears was seeking employment and negotiating both with Amazon.com and with a firm called Intelligrated. Amazon made 2 offers to Spears which he rejected, because he believed they did not pay enough, or offer enough stock options. In a letter dated June 19, 2008, Amazon increased its offer to 504 shares of stock, and Spears stopped looking elsewhere, and accepted the job. On December 5, 2008, Amazon informed Spears by letter that the stock offer was a mistake, and that the most employees at his level could receive was 120 shares. At the same time, they gave him a $500 cash bonus. In November 2010, Spears filed suit against Amazon for several causes of action, including fraud in the inducement and negligent misrepresentation. Amazon.com moved for summary judgment.

1.) What were the legal issues in this case? What did the court decide?

2.) What are the elements of a fraud (in the inducement) claim?

3.) What is the evidence that the employer induced the plaintiff to act, or refrain from acting, and that the plaintiff did so to his detriment? 

4.) The plaintiff also sued for breach of contract, but this claim was dismissed in an earlier decision. How does a breach of contract claim differ from a fraud claim? Why might the judge have dismissed the breach of contract claim?

5. What are the practical implications of this case for the recruiting process of this employer?