An employer’s mistake as to its legal obligations can invalidate a contractual termination provision.
In Perretta v. Rand A Technology Corporation, 2021 ONSC 2111 (CanLII), Justice Andrew A. Sanfilippo held that an employer’s refusal to pay its former employee the two weeks to which she was contractually entitled—unless she first signed a full and final release, constituted a repudiation of the employment contract, thereby entitling her to common-law damages.
A knowingly false allegation of “cause” can void an otherwise valid termination provision.
In Dixon v British Columbia Transit, [1995] BCJ No 1892 (BC SC), the British Columbia Supreme Court held that an employer could not rely on its contractual termination provision to limit its severance obligation because the contract did not provide for a measure of liquidated damages in the event of wrongful dismissal; the contract only provided for compensation in lieu of notice if dismissal was pursuant to the employer's lawful right to dismiss in the absence of cause.
Can an employer withdraw a termination of employment after it has been delivered to its employee?
In a series of cases from the Ontario Superior Court of Justice, one of which I argued, judges have consistently held that an employer cannot.
When calculating damages for failing to provide reasonable notice of termination, can an employer deduct statutory termination pay and severance already paid to the employee?
The 1996 decision of the Court of Appeal for Ontario in Stevens v. The Globe and Mail, 1996 CanLII 10215 (ON CA), affirmed that the employer is entitled to make such deductions.
How is commission income addressed when calculating severance under Ontario employment law?
In Shelp v. GoSecure Inc., 2025 ONSC 49, the Honourable Justice Charles T. Hackland of the Ontario Superior Court of Justice sitting in Ottawa affirmed that “it is common practice in the case law for courts to estimate a terminated employee’s commission income based on averaging pre-termination earnings.”
