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Employer Liability Issues Canada Employment Contract

Littler

Ontario, Canada Court Confirms a Clearly Drafted Temporary Layoff Clause Can Protect Employers From Constructive Dismissal Claims

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In Taylor v. Salytics Inc., 2025 ONSC 3461, the Ontario Superior Court of Justice considered whether a temporary layoff provision in an employment contract constituted a termination provision, and was therefore subject to the...more

Blake, Cassels & Graydon LLP

Droit de l’emploi au Canada : Changements récents et à venir

Au cours de la dernière année, des changements importants ont été apportés à la législation en matière d’emploi un peu partout au Canada. Des mises à jour législatives majeures ont notamment été effectuées en Ontario, en...more

Bennett Jones LLP

BC Court of Appeal Confirms “No hire” Clause Not Intended to Injure Employees

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In Latifi v The TDL Group Corp., 2025 BCCA 45, (Latifi) the BC Court of Appeal upheld the summary dismissal of a proposed class action against the Tim Hortons franchisor in Canada. The underlying dispute between the...more

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Ontario, Canada Court Finds Employer Repudiated Employment Agreement When it Failed to Pay Employee’s Contractual Severance

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In Timmins v. Artisan Cells, 2025 CanLII 2387, Ontario’s Superior Court of Justice found, in an undefended claim, that the employers “by their correspondence and actions” repudiated the employee’s employment agreement when...more

Mintz - Employment Viewpoints

Sooner the Better: Employers in Canada Should Really Review Their Termination of Employment Clauses

A recent Ontario Court of Appeal (“ONCA”) decision signals a pressing need for Canadian employers to review and consider updating their contractual termination of employment provisions. Otherwise, employers are at risk of...more

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Ontario, Canada Court of Appeal Agrees “For Cause” Termination Provision Was Unenforceable Because it Did not Comply with ESA’s...

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Applying prior precedent, the Court of Appeal for Ontario (OCA) in Dufault v. Ignace (Township), 2024 ONCA 915, upheld the Ontario Superior Court of Justice’s (OSCJ) finding that the “for cause” termination provision in an...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Ontario Court Reaffirms Importance of Clear and Compliant Language in Employment Agreements

In December 2024, the Court of Appeal for Ontario released its highly anticipated decision in Dufault v. Ignace (Township). The three-judge panel determined that the “for cause” termination clause contained in the employee’s...more

Bennett Jones LLP

New Regulations Regarding the Hiring Process: Key Dates and Information for Ontario Employers

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Ontario has recently published regulations offering employers further details on the new amendments to the Employment Standards Act, 2000 (ESA) related to the hiring process....more

Bennett Jones LLP

Legal Precedent on Restrictive Covenants in Employment Agreements—A Case Study

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Employee restrictive covenants are often a contentious issue, especially when employees leave to form (or join) competing firms. A recent Alberta Court of King’s Bench decision, People Corporation v Quinn et al. (2024 ABKB...more

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Ontario, Canada Court Finds Termination Provisions Unenforceable and Awards Employee Punitive Damages

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Wilds v. 1959612 Ontario Inc., 2024 ONSC 3452, involves a wrongful dismissal action in which the employee brought a motion for summary judgment. The court found the termination provisions in her employment agreement were...more

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Ontario, Canada Appellate Court Provides Guidance to Employers on How to Draft Employment Settlement Documents

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The Court of Appeal for Ontario found that settlement documents signed after an employee separated from employment prevented him from suing for the value of vested stock options....more

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Ontario, Canada Court Reinforces Waksdale’s Impact on Enforceability of Termination Provisions and Provides Guidance on Proving...

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In De Castro v. Arista Homes Limited, 2024 ONSC 1035, Ontario’s Superior Court of Justice (Court) held the termination provision in an employment contract was unenforceable because it defined “cause” more broadly than does...more

Littler

Ontario, Canada Appeal Court Confirms Employment Contract Frustrated by Employee’s Refusal to Comply With COVID-19 Vaccination...

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In Croke v. VuPoint System Ltd., 2024 ONCA 354, the Court of Appeal for Ontario (OCA) upheld the Superior Court of Justice – Ontario (SCJ)’s summary judgment decision that an employee’s refusal to comply with their employer’s...more

Ius Laboris

Canadian court upholds termination of unvaccinated worker

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The Ontario Court of Appeal recently held that an employee’s failure to meet COVID-19 vaccination requirements imposed by a third party amounted to frustration of the employment contract. As a result, there was no obligation...more

Littler

British Columbia, Canada Appeal Court Rejects Employer’s Frustration Defence in Circumstances Connected to COVID-19

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In Aldergrove Duty Free Shop Ltd. v. MacCallum, 2024 BCCA 28, the Court of Appeal for British Columbia (BCCA) dismissed an employer’s appeal when it agreed with the lower court that the employer could not use the frustration...more

Littler

Ontario, Canada Court Finds Termination Clauses in Fixed-Term Employment Agreement Unenforceable

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In Dufault v. The Corporation of the Township of Ignace, 2024 ONSC 1029, the Ontario Superior Court of Justice held that the termination provisions of a fixed-term employment contract were illegal and unenforceable because...more

Littler

Alberta, Canada Court Holds Placing Employee on Unpaid Leave for Failure to Comply with Mandatory COVID-19 Vaccination Policy is...

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In Van Hee v Glenmore Inn Holdings Ltd., 2023 ABCJ 244 (Glenmore), the Alberta Court of Justice found that an employer’s mandatory vaccination policy was a reasonable, justified and lawful response to the extraordinary...more

Bennett Jones LLP

Changes to Ontario's Employment-Related Legislation Have Arrived

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As you may have heard or read in our earlier blog, More Changes to Ontario's Employment-Related Legislation Are on the Horizon, the Ontario government introduced Bill 79, Working for Workers Act, 2023 in late March 2023. On...more

Bennett Jones LLP

Employment Standards Act to Require Licensing of Temporary Help Agencies: The New Regime at a Glance

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As of January 1, 2024, the Employment Standards Act will require temporary help agencies to be licensed by the Ministry of Labour in order to operate. The Ontario government previously amended the Employment Standards Act in...more

Stikeman Elliott LLP

Fixed in Stone - Fixed Term Remains Secure Despite Invalid Termination Clause

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The Ontario Superior Court of Justice recently released its decision in Kopyl v Losani Homes (not yet cited) (the “Decision”), providing insight into the enforceability of fixed terms in employment agreements in circumstances...more

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British Columbia Court Finds Termination Clause Enforceable Because it Complied with Statutory Individual Notice Provisions

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In Forbes v. Glenmore Printing Ltd., 2023 BCSC 25, the Supreme Court of British Columbia (BC) disagreed with the employee’s argument that the termination clause in his employment agreement was invalid because it required the...more

Stikeman Elliott LLP

Wage-Fixing & No-Poach Agreements Now Illegal: What Businesses Need to Know

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Wage-fixing and “no-poach” agreements between employers are now illegal under the Competition Act, subject to limited exceptions. While the Competition Bureau has issued guidelines regarding its intended approach to enforcing...more

Blake, Cassels & Graydon LLP

Quebec’s French Language Charter: A Year After Bill 96

On May 24, 2022, Bill 96, An Act respecting French, the official and common language of Québec (Bill 96), which amends the Charter of the French Language (Charter), was adopted by Quebec’s National Assembly. Certain...more

Blake, Cassels & Graydon LLP

Langue française : Où en sommes-nous près d’un an après l’adoption du projet de loi n⁰ 96?

Le 24 mai 2022, le projet de loi n⁰ 96 – Loi sur la langue officielle et commune du Québec, le français (le « PL-96 ») qui modifie la Charte de la langue française (la « Charte » ou la « Loi 101 »), a été adopté par...more

Littler

Ontario, Canada Court Finds Employment Contract Frustrated by Employee’s Refusal to Become Vaccinated Against COVID-19

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In Croke v. VuPoint Systems Ltd., 2023 ONSC 1234, Ontario’s Superior Court of Justice decided that an employee’s refusal to comply with mandatory COVID-19 vaccination requirements resulted in the frustration of the parties’...more

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