In Dufault v. Ignace (Township), the Ontario Court of Appeal reinforced and applied the principle established in Waksdale v. Swegon North America Inc. (Waksdale) that, when interpreting an employment agreement, all termination provisions must be read together and the invalidity of one termination provision renders all termination provisions void and unenforceable. In rendering its decision,…
Tag: Termination of Employment
Employee’s $76,000 Claim for Vested Stock Units Barred by Wrongful Dismissal Settlement and Release
Settlement agreements require careful attention to both present and future entitlements, as highlighted by the Ontario Court of Appeal’s recent decision in Preston v. Cervus Equipment Corporation. The Court held that the scope of an executed release, indemnity and minutes of settlement (the Settlement Documents) precluded an employee’s subsequent claim to vested stock units, despite…
Employment Termination Clauses Under Scrutiny – The Latest Update
In Dufault v. The Corporation of the Township of Ignace, the Ontario Superior Court of Justice found the termination provisions of a fixed-term employment contract did not comply with the Employment Standards Act, 2000 (ESA) because, among other things, it permitted the employer to terminate the employee’s employment without cause in the employer’s “sole discretion”…
The Year in Review – 2023 Cases of Note
We are back with our annual review of the prior year’s notable cases that we believe will be of interest to employers and human resources professionals. We also identify some cases to watch for in 2024. Next week, we will bring you our review of notable 2023 legislative updates. Cases of Note Employment Termination of…
Court Finds Employer Had Cause to Dismiss Employee After He Deleted Employer Website
In Park v Costco Wholesale Canada Ltd., the Ontario Superior Court held a former employee (Mr. Park) had engaged in wilful misconduct that was incompatible with the fundamental terms of his employment relationship with his employer, Costco, and that Costco was therefore justified in terminating his employment for cause. The employee had worked for Costco…
Beyond COVID-19: 2022 Year in Review – Cases and Legislation of Note
Employers and human resource professionals will undoubtedly remember 2022 as another year shaped by the pandemic.
But…there were also legal developments in 2022 that were not related to COVID-19. In this FTR Now, we look at some of the past year’s notable “non-pandemic” cases and legislative developments.
Court Finds ESA-Only Termination Clause Unenforceable Due To Wording of Conflict of Interest and Confidential Information Clauses
In Henderson v. Slavkin et al., the Ontario Superior Court of Justice found that a termination clause in an employment contract which limited entitlements upon termination to only the minimums required by the Employment Standards Act, 2000 (ESA) was unenforceable due to the wording of the provisions related to “confidential information” and “conflict of interest.”…
Beyond COVID-19: 2021 Year in Review – Cases and Legislation of Note
Employers and human resource professionals will undoubtedly remember 2021 as another year shaped by the pandemic. But … there were also legal developments in 2021 that were not related to COVID-19. In this FTR Now, we look at some of the year’s notable “non-pandemic” cases and legislative developments of interest.
Appellate Court Finds Former Employee was Provided Notice of Agreement Terms; No Entitlement to Unvested Stock Options
In Battiston v. Microsoft Canada Inc., the Ontario Court of Appeal held that an employee who provided online acknowledgements that he had read the employer’s stock option agreement was bound by the provisions of that agreement (including the termination provisions), whether he had read them or not. Background Facts Mr. Battiston had been employed by…
Appellate Court Considers Employee’s Entitlement to Incentive Compensation in Light of Ocean Nutrition; Majority Affirms Original Decision
In Manastersky v. Royal Bank of Canada, a majority of the Ontario Court of Appeal confirmed its earlier finding that a trial judge had erred when he found a former executive was presumptively entitled to incentive compensation during the reasonable notice period. Background Facts During his employment with RBC Dominion Securities Inc. (RBCDS), Mr. Manastersky…