For the record, it is rarely a good idea for the employer to have a two-week-notice requirement. If you reach the point where you want to fire someone, telling them that they're going to be fired in two weeks leaves the disgruntled employee a whole lot of time to sabotage things. I once had to salvage what I could after I came as HR director the day AFTER they fired someone, and gave her fifteen minutes to collect her things. In that fifteen minutes, she did $2000 worth of damage to equipment, cancelled all the travel arrangements for the senior staff for the rest of the year (it was October - and those boys traveled a lot) and deleted several key files. If she could do all that in fifteen minutes, imagine what an employee with nothing to lose could do in two weeks.
What you might want to consider is terming her immediately but paying her for the two weeks. That way you're covered in the event that you really do have a binding contract, but she's not on site committing sabotage.
I am curious why any employer would include a two-week-notice clause in a contract.
If puppylove violates the terms of the contract s/he has with the employee (and that includes violating a two-week-notice clause and can also include any
oral contract entered into with the employee), the employee could have a supportable breach of contract claim to pursue.
The contract would have to be personally reviewed by an attorney in California but, if such a clause exists or oral promises made, puppylove has to be very careful how s/he handles the employee's termination. This might mean puppylove will have to provide a two-week-
leave with pay before the employee's employment can be terminated. Her employment should not be
terminated, though, until the contracted-notice is given (depending, of course, on how the contract is worded).