Long-awaited amendments to the Ontario Pension Benefits Act (“PBA”) regarding the transfer of assets between pension plans became effective on January 1, 2014. New supporting Regulations under the PBA[1] (the “Asset Transfer Regulations”) also came into force on January 1, 2014. This FTR Now provides a high-level overview of the new asset transfer regime. The…
Tag: Sale of Business
The Latest Word on Restrictive Covenants from the Supreme Court of Canada
The law on restrictive covenants is all about context. Restrictive covenants typically arise in a sale of a business agreement or an employment contract. If you are drafting a restrictive covenant or determining whether a covenant is enforceable, you must be aware of the context because the applicable legal principles vary based on the context….
Court Clarifies Interpretation of Subsection 80(3) of the Pension Benefits Act
The Ontario Divisional Court recently rendered a significant decision under the Pension Benefits Act (Ontario Pension Board v. Ratansi). It overturned a finding of the Financial Services Tribunal that subsection 80(3) of the Pension Benefits Act (“Act”) did not prevent a plan member from commencing his or her pension while continuing to work for the…
Court of Appeal for Ontario Finds Restrictive Covenants Unreasonable and Unenforceable
In Martin v. ConCreate USL Limited Partnership, a decision released yesterday, the Court of Appeal for Ontario determined that the restrictive covenants included in sale of business agreements were unenforceable. Among other things, the Court found that the duration for the covenants was unreasonable because it was “for an indeterminate period, and there is no fixed,…
Important Direction on Restrictive Covenants from the Court of Appeal for Ontario
Restrictive covenants in an employment context are intended to control an individual’s competition and conduct in relation to her employer’s business after the employment relationship ends. These covenants will only be upheld by the courts if they are reasonable as between the parties and reasonable in light of the broader public interest in discouraging restraints…