The Puerto Rico Court of Appeals recently upheld a ruling that Renie Angelite Traverzo González was unjustly dismissed from her position at Felcon Automotive, Inc. This decision, made on April 27, 2026, confirms the lower court's finding that Traverzo González deserved compensation for her termination, which was deemed unjustified under local labor laws.
This case, docket number TA2026AP00230, is significant as it reinforces employee rights in Puerto Rico, particularly regarding unjust dismissals. The ruling impacts not only Traverzo González but also sets a precedent for future cases involving wrongful termination in the territory.
Background
Renie Angelite Traverzo González worked as a sales executive for Felcon Automotive, Inc. starting in February 2016. On June 11, 2024, she was called into a meeting where she was informed of her termination. The company claimed her dismissal was due to her purchase of a used vehicle from a distributor, which they alleged was a conflict of interest. Traverzo González argued that the vehicle was bought for her son and that she had sought permission before the purchase, denying any wrongdoing.
On August 19, 2024, Traverzo González filed a complaint for unjust dismissal in the Court of First Instance, Mayagüez Division. She sought compensation under Law No. 80 of 1976, which governs unjust dismissals in Puerto Rico. Felcon Automotive responded by denying the allegations and asserting that the dismissal was justified due to her alleged violation of company policy.
The Ruling
The Court of First Instance ruled in favor of Traverzo González on February 17, 2026, stating that her dismissal was unjustified. The court found that the reasons provided by Felcon Automotive did not hold up under scrutiny. The court noted, "the testimony of Mrs. Traverzo González was credible, and she did not acquire the vehicle with the intention of reselling it for profit, but rather for her son."
The court also pointed out that the company had not suffered any financial harm due to her actions, and the internal policy regarding conflicts of interest was not clearly defined. Therefore, the court concluded that Traverzo González could not have reasonably known that her actions would lead to her dismissal. The court ordered Felcon to pay her $57,797.36 in compensation.
Felcon Automotive appealed the decision, arguing that the lower court had erred in its findings and that the dismissal was justified based on their internal policies. However, the appellate court found that Felcon failed to provide sufficient evidence to support their claims.
Impact
This ruling is crucial for employees in Puerto Rico, as it underscores the legal protections against unjust dismissals. It highlights the importance of clear communication regarding company policies and the necessity for employers to conduct thorough investigations before terminating an employee. The decision reinforces the notion that employees should not be dismissed without clear justification, particularly when their actions do not harm the company.
The ruling may also influence future cases regarding employee rights and the interpretation of labor laws in Puerto Rico. It serves as a reminder to employers to ensure that their policies are well-defined and communicated to employees to avoid potential legal disputes.
What's Next
Felcon Automotive has the option to appeal the ruling to a higher court, although details regarding any potential appeal were not available in the court filing. This case could set a significant precedent for future labor disputes in Puerto Rico, particularly concerning unjust termination claims.