Final answer:
Courts in several states recognize an employee handbook as an implied contract that can be legally binding, creating obligations for both employer and employee. Option a) is correct.
Step-by-step explanation:
What is recognized by courts in several states as an implied contract that can be legally binding? The correct answer is a. Employee handbook. An employee handbook can be seen as an implied contract between the employer and the employee in many legal contexts.
When an employee receives and acknowledges an employee handbook, it may create binding obligations on both the employer and the employee. Courts in several states have recognized that the policies and procedures outlined in an employee handbook can be enforceable as long as they are clearly written and the employee has been made aware of them.