Courts have frequently interpreted a university’s personnel handbook as a contract that can be violated if the university fails to abide by its terms. Such lawsuits may occur when a university threatens to take adverse action against an employee and often arise in three kinds of circumstances—when situations develop that are not addressed in the handbook, when the university fails to follow handbook procedures for handling a particular personnel matter, or when written expectations for employees are poorly drafted or are subject to differing interpretations. When drafting or reviewing a personnel handbook, university administrators should makes sure the handbook conforms to legal and constitutional requirements. In addition, the handbook should make clear what parts—if any—constitute a contract between the university and the employee and the means whereby the handbook can be amended. In addition, university officials should make sure that the university does not engage in practices that are at variance with the handbook language.