Employer Unable to Rely on Company Policy Not Incorporated into Employment Agreement

To what extent can employers rely on internal policies, not incorporated into an employment agreement, for determining employee rights and benefits? According to one decision from the British Columbia Supreme Court, very little.

Non-Competition Clause and Injunctions: Beware What You Sign

Will the Ontario courts enforce a non-competition agreement and grant an injunction if the employee signs an agreement without legal advice? In one of the first cases released in 2014, the Ontario Superior Court of Justice has said yes.

Three Reasons to Have an Employment Lawyer Review an Employment Contract Before You Sign It

There are a number of reasons you may wish to have an employment contract reviewed by an Ontario employment lawyer before you sign on the dotted line. This post will look at the three most important reasons prospective employees should have employment contracts professionally reviewed.

Caveat Venditor - Non-Competition Agreements in Asset Sales

Can a five-year non-competition agreement be legally enforceable? If it is attached to the sale of a part of your business it can be, says the Supreme Court of Canada.

In the most recent of decisions from the highest court concerning non-competition agreements and restrictive covenants, Payette v. Guay inc., 2013 SCC 45, released September 12, 2013, the Supreme Court of Canada affirmed that non-competition agreements negotiated in the context of a sale are different from non-competition agreements included in a simple employment agreement.

Termination Provisions in Contract Unenforceable Without Continuation of Benefits

In a decision released in October 2011, Stevens v. Sifton Properties Ltd., 2012 ONSC 5508 (CanLII), the Honourable Justice Ian F. Leach held that where an employment contract failed to provide for the continuation of benefits throughout the applicable notice period - even though the employer actually maintained the benefits throughout the notice period - the contractual provision was of no force or effect.

Limitation Period Applicable to a Claim for Indemnification

What is the limitation period applicable to a claim for indemnification, where the right to indemnification is contained within an employment contract? According to a recent decision from the Honourable Justice Heidi Polowin, Canaccord Capital Corporation v. Roscoe, 2012 ONSC 5714 (CanLII), two years from the date upon which the employer is found liable to a third-party plaintiff.

[EDIT: The Superior Court decision was overturned by the Court of Appeal for Ontario on June 7, 2013. For a summary of that decision see: Employers Must Sue for Indemnification Within Two Years: ONCA.]

The case raises the issue of the rights of third parties and the ability to add third parties after the expiry of limitation dates, especially those set out in section 18 of the 2002 Limitations Act.

Poorly Drafted Employment Agreement Proves Costly

If a termination provision in an employment agreement does not technically violate the provisions of the Employment Standards Act at the time of termination, but has the potential to do so at other times, is it still enforceable? “No” says the Ontario Superior Court of Justice.

Exclusion Clause Insulates Against Tort Claims

Can a limitation of wrongful dismissal damages clause in an employment agreement insulate individual employees from personal liability at the time of dismissal? "Yes" says the Court of Appeal for Ontario.