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Ontario Termination Clauses Contract Terms

Bennett Jones LLP

Forfeiture Clause Upheld, Punitive Damages Denied: Favourable Takeaways for Employers

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The Ontario Superior Court of Justice’s recent decision in Wigdor v Facebook Canada Ltd, 2025 ONSC 4051 provides helpful clarity for employers on two key issues: the enforceability of restricted stock unit (RSU) forfeiture...more

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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

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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

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Ontario, Canada Court Decides Employment Contract’s Unenforceable Confidentiality and Conflict-of-Interest Clauses Invalidated All...

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Two years ago in Waksdale v. Swegon North America Inc., 2020 ONCA 391,  the Ontario Court of Appeal established the proper method for determining whether a termination clause in an employment agreement is enforceable. ...more

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Ontario, Canada: Superior Court Determines Enforceability of Termination Clause

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The Ontario Superior Court recently issued a decision in Sewell v. Provincial Fruit Co. Limited, 2020 ONSC 4406 (Sewell), applying the reasoning set forth in the Ontario Court of Appeal (OCA) decision, Waksdale v. Swegon...more

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Ontario, Canada: Calculation of Reasonable Notice Period When a Contractor Becomes an Employee

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Cormier v. 1772887 Ontario Limited (St. Joseph Communications) (“St. Joseph”), 2019 ONCA 965, is an appeal from a summary judgment motion arising from the wrongful dismissal claim of a contractor who worked for St. Joseph for...more

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Littler Global Guide - Canada - Q3 2018

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Bill C-74 Receives Royal Assent- New Legislation Enacted- Bill C-74, the Budget Implementation Act, 2018, No. 1, received Royal Assent on June 21, 2018. Initiatives of interest to employers include allowing part-time...more

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