Tag: Employment Contracts

Appellate Court Finds Settlement for Payment of Bonus Enforceable Despite Breach of Non-Compete Clause

· 3 min read

The Court of Appeal recently upheld a motion judge’s finding that an employer was required to pay a bonus despite the fact that the dismissed employee was in breach of a non-compete clause. In Wilson v. Northwest Value Partners Inc., the parties entered into a settlement at mediation regarding Wilson’s claim for benefits (inclusive of…

Full Payout to End of Fixed Term Contract in Case of Early Termination, No Duty to Mitigate

· 3 min read

In Howard v. Benson Group Inc. (The Benson Group Inc.), the Ontario Court of Appeal ruled that in the absence of an express provision specifying a pre-determined notice period or pay in lieu (for early termination without cause), on the early termination of a fixed term contract an employee is entitled to the wages the…

Court of Appeal Rejects Use of “Snapshot” Approach to Determine Exclusivity in Contractor Relationships

· 2 min read

Employment relationships generally fall into one of three categories: employee, dependent contractor or independent contractor. Exclusivity is often a key consideration when determining what category applies. Recently, the Court of Appeal for Ontario considered the degree of exclusivity required in a dependent contractor relationship in Keenan v. Canac Kitchens Ltd. In Keenan, the plaintiffs had…

Court Examines Parties’ Intentions and Severability Clause in Upholding ESA-Only Termination Provision

· 5 min read

Over the past few years, the Ontario Superior Court has rendered several decisions which consider the enforceability of termination notice provisions in employment contracts that provide only for the Employment Standards Act, 2000 (“ESA”) minimum entitlements. Depending on the specific wording used, many of these provisions have been held to be unenforceable for non-compliance with…

Appeal Court Decision Underscores Importance of Clear Terms of Hire at Outset

· 4 min read

In a recent decision, Holland v. Hostopia.com. Inc., the Court of Appeal for Ontario found that a termination provision in an employment agreement purporting to limit the appellant’s entitlements upon termination of employment to the statutory minimums under the Employment Standards Act, 2000 (“ESA”) was unenforceable due to lack of consideration. The appellant had commenced employment…