The Ontario Court of Appeal has clarified two issues affecting termination liability: (1) when an employee’s illness or disability frustrates the employment contract, and (2) when an employer-provided resource is a compensable employment benefit rather than a work tool supplied to do the job.
Tag: Frustration of Contract
Employer Conduct, Frustrated Contracts, and the Limits of Benefit Deductibility
In Hedrick v. Johnston Meier Insurance Agencies Ltd., Justice Bennett of the Supreme Court of British Columbia addressed two issues that will be of interest to employers: when an employer may rely on frustration of contract, and when statutory benefit payments may be deducted from wrongful dismissal damages.