In Manthadi v. ASCO Manufacturing, the Ontario Court of Appeal unanimously found that summary judgment was not appropriate in a case where a plaintiff was awarded 20 months’ reasonable notice damages after one month service with a company (Purchaser) that had bought the assets of her former employer (Vendor). The Court set aside the summary…
Tag: Successor Employer
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…
Divisional Court Confirms that Section 80(3) of the PBA Deems Employment to Continue Following Sale of Business
In Ontario Pension Board v. Ratansi, the Ontario Divisional Court confirmed that the Pension Benefits Act (“PBA”) deems that following a sale of business transaction, both employment and pension plan membership continue under the predecessor employer’s pension plan while the employee continues in employment with the successor employer. The decision overturns an earlier decision of…
Sale of Assets and Hiring of Former Employees of Defunct Business not Sale of Business within LRA: OLRB
In a recent case, the Ontario Labour Relations Board (“OLRB”) helped clarify what situations will trigger the operation of the sale of business provisions of the Labour Relations Act (“Act”) particularly when a business purchases the assets and premises of an organization which is unionized. This case may provide guidance for an organization which is…