When I was hired they included a "retention bonus" which would be paid out at 12 months. Last week they laid me off, without citing any reason. CA is an "at-will employment state" so all that was said was that they were ending the "at-will relationship".

The language in the employment contract reads as follows:

Section 3(b)

(b) Retention Bonus. You will be eligible to receive a Retention Bonus (“Retention Bonus”) of $10,000 less lawful deductions, to be earned after you remain an employee of the Company in good standing from the first date of your employment at the Company through the date that is twelve (12) months thereafter (the “Retention Date”) (or cease to be employed by the Company prior to the Retention Date due to a termination of your employment by the Company without Cause (i.e., termination by the Company is not for “Cause” as defined in Section 8(b) below)).

It's actually 7(b) not 8(b) as it states above...

Section 7(b)

(b) Termination by the Company. The Company may terminate your employment with the Company with or without Cause and with or without notice. For purposes of this Letter Agreement, “Cause” shall mean (i) any failure by you to substantially perform your duties hereunder (other than any such breach or failure due to your physical or mental illness); (ii) any failure by you to cooperate, if requested by the Company, with any investigation or inquiry into your or the Company’s business practices, whether internal or external, including, but not limited to, your refusal to be deposed or to provide testimony at any trial or inquiry; (iii) your engaging in fraud, or misconduct that has caused or is reasonably expected to result in injury to the Company or any of its affiliates; (iv) any breach by you of any fiduciary duty owed to the Company or any of its affiliates or shareholders; (v) your conviction of, or entering a plea of guilty or nolo contendere to, a crime that constitutes a felony in the jurisdiction involved; or (vi) any material breach by you of any of your obligations hereunder or under any other written agreement or covenant with the Company or any of its affiliates, or of a material policy or procedure. A termination for Cause shall include a determination by the Company following the termination of your employment that circumstances existed during your employment that would have justified a termination by the Company for Cause. In the event your employment is terminated by the Company with or without Cause, you will receive all Accrued Obligations, but will not be eligible for any other compensation, including any bonus accrued in respect of the calendar year in which you are terminated; provided, however, that in the event your employment is terminated hereunder for Cause because you have been convicted of (x) a felony or (y) a material violation of any applicable securities laws (either, a “Criminal Cause Event”), you shall be entitled only to your Base Salary and benefits through your last day of employment with the Company; and in the event the Company establishes that it has actually incurred damages arising from any misfeasance or nonfeasance on your part giving rise to a termination for Criminal Cause Event, the Company shall have the right to offset the amount of such damages against any sums owed to you hereunder.

According to this contract do they owe me the retention bonus?