A verbal employment contract is similar to an implied employment contract. An implied employment contract may involve written arrangements in an employee handbook provided by the employer, but no individualized contract. A verbal employment contract does not include anything other than a verbal agreement. These contracts can be risky for employees in most states. The contract cannot be proven or disproved, making any legal action against a wrongful employer difficult. However there are some states whose courts recognize good faith and fair dealing. This means that employers are obligated to act justly in the termination of their employees.