News & Analysis as of

Termination Employment Litigation

Morris James LLP

Court of Chancery Finds Employee’s Restrictive Covenants Unenforceable for Lack of Consideration

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N. Am. Fire Ultimate Holdings, LP v. Doorly, C.A. No. 2024-0023-KSJM (Del. Ch. Mar. 7, 2025) - A contract requires consideration to be enforceable. In this case, the Court of Chancery held restrictive covenants were...more

Blake, Cassels & Graydon LLP

Five Employer Wins and Counting: Is the Tide Turning?

In a shift from the prevailing trend of employee-friendly case law regarding the interpretation of employment and compensation agreements, Canadian courts have recently issued a series of rulings in favour of employers. ...more

Constangy, Brooks, Smith & Prophete, LLP

Employer skirts constructive discharge claim

Some good lessons here. I assume our readers all know what a “constructive discharge” is, but just in case you don’t, it’s when an employer deliberately makes the employee’s life at work so miserable that the employee feels...more

Marshall Dennehey

Ohio Supreme Court: City’s Refusal to Arbitrate Under Last-Chance Agreement Not an Unfair Labor Practice

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Ohio Council 8, AFSCMA, AFL-CIO v. City of Lakewood, 2025-Ohio-2052 -An employee of the Department of Public Works was on a last-chance agreement when he committed another fault and was terminated. The union demanded...more

K&L Gates LLP

Unlawful Dismissals: What Changes for Small Companies in Italy After Decision No. 118 of 21 July 2025

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The aim of this alert is to provide an update on the recent ruling issued by the Italian Constitutional Court (the Court) on 21 July 2025 (Decision No. 118), dealing with the consequences of unlawful dismissals in small...more

Health Care Compliance Association (HCCA)

Amid Seeming Error, HHS Finalizes Klote’s Termination As Director of Crippled OHRP; She Issues a Warning

In the end, the final termination letter arrived in the mail on July 18. For nearly three months—about half of the length of time she was director of the HHS Office for Human Research Protections (OHRP)—Molly Klote, M.D.,...more

Constangy, Brooks, Smith & Prophete, LLP

Mandatory referral to EAP may be "adverse action," court says

"Some harm" is all it takes. A federal appeals court found this week that requiring an employee to enter an Employee Assistance Program may be an “adverse employment action” under the federal anti-discrimination laws....more

A&O Shearman

End to six-month cap on unlawful termination compensation in small businesses for Jobs-Act-governed relationships

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On July 21, 2025, the Constitutional Court, with Judgment No. 118/2025, declared the constitutional illegitimacy of Article 9, paragraph 1 of Legislative Decree 23/2015. With this decision, the court deleted the strict...more

Bennett Jones LLP

Misbehaving Employees Beware: Ontario Court Cracks Down on Post-Termination Misconduct

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The recent decision in Bougiotis v Manji, 2025 ONSC 2365 (Bougiotis), is a cautionary tale for departed employees thinking of misbehaving; and serves as an example of the relief available to employers where former employees...more

Kelley Drye & Warren LLP

Recent Settlement Latest in Developing Trend in Reverse Discrimination Cases

It was announced on July 7 that IBM had resolved a former consultant’s ​“reverse” discrimination claim for an undisclosed sum, closing the door on his Title VII race and sex discrimination lawsuit. This settlement is yet...more

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

Stikeman Elliott LLP

Status Update: Ontario Court Upholds RSU Forfeiture Provision, Despite Employment Agreement Violating the ESA

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In the recent Wigdor v Facebook Canada Ltd. and Meta Platforms, Inc., 2025 ONSC 4051 decision (the “Decision”), which has not yet been reported, the Ontario Superior Court of Justice upheld the enforceability of restricted...more

Constangy, Brooks, Smith & Prophete, LLP

Adverse employment actions require a decision maker. Make sure you have one.

Among the first questions I ask when investigating a lawsuit accusing my client of discriminatory conduct is, “Who made the decision?” The reasons are simple. First, an adverse employment action – like termination,...more

Blake, Cassels & Graydon LLP

Risques à surveiller en matière de congédiement déguisé

Les risques d’allégations de congédiement déguisé demeurent une préoccupation importante pour les employeurs canadiens, en particulier dans le contexte de changements opérationnels. Les tribunaux considèrent qu’un...more

Littler

Third Circuit Affirms NLRB’s Totality of the Evidence Test in Finding that a Single Employee’s Conduct Constituted Protected...

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On June 23, 2025, in Miller Plastic Products Inc. v. National Labor Relations Board, the Third Circuit ruled that substantial evidence supported the Board’s determination that a single employee’s conduct was protected...more

Bennett Jones LLP

Ontario Court Confirms Temporary Lay-Off Clause Is Distinct From Termination Clause

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In Taylor v Salytics Inc., 2025 ONSC 3461 (Taylor), the Ontario Superior Court of Justice emphasized the importance of a substance-over-form analysis in the interpretation of employment agreements, concluding that a temporary...more

Goldberg Segalla

Second Circuit Clarifies Scope of Marital Status Discrimination Under New York City Human Rights Law

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The U.S. Court of Appeals for the Second Circuit on April 8, 2025, clarified the scope of “marital status” discrimination under the New York City Human Rights Law (NYCHRL). In Hunter v. Debmar-Mercury LLC, et al., the Second...more

Warner Norcross + Judd

Employment Terminations Based on “Cultural Fit”: A Cautionary Tale for Employers

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On June 17, the U.S. Court of Appeals for the Sixth Circuit issued Kean v. Brinker International, Inc., an opinion that reverses summary judgment for the employer and sends a former Chili’s general manager’s Age...more

Mintz - Employment Viewpoints

Attention Ontario Employers: Ontario Court of Appeal Upholds ESA Termination Clause in Bertsch v Datastealth Inc.

In a rare but significant “win” for employers, the Ontario Court of Appeal confirmed that an employer can enforce a termination provision limiting an employee’s entitlements strictly to the minimum standards under the...more

Bennett Jones LLP

Not So Dependable? BC Court Says Employers May Not Expect Dependent Contractors to Get Less Reasonable Notice than Employees

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In the recent decision of Ursic v Country Lumber Ltd., 2025 BCSC 970 (Country Lumber), the Supreme Court of British Columbia held that there is no presumption that dependent contractors ought to receive less reasonable notice...more

Constangy, Brooks, Smith & Prophete, LLP

Out again: Supreme Court pauses reinstatement of ex-NLRB Member Wilcox, one other former official

The U.S. Supreme Court on May 22 stayed the reinstatement of Gwynne Wilcox, a former member of the National Labor Relations Board, and Cathy Harris, a former member of the Merit Systems Protection Board. Both women were...more

Bennett Jones LLP

Workplace Investigations: Perfection Is Not the Standard

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A recent decision of Ontario’s Superior Court of Justice provides helpful guidance to Ontario employers on the standard of workplace investigation in the context of a termination for cause. The Court also provides helpful...more

Constangy, Brooks, Smith & Prophete, LLP

Dads have workplace rights, too -- with a twist.

Dad-of-seven will go to jury on religious discrimination. This sounds like the kind of thing that might happen to a woman, but this time it (allegedly) happened to a man. A devout Catholic man (we'll call him "Dad") was...more

Parker Poe Adams & Bernstein LLP

Shifting Eliminated Position's Duties to Nondisabled Workers Not Evidence of Discrimination

Employers sometimes believe that eliminating a job position instead of terminating an employee for poor performance gives them a "get out of jail free" card for purposes of avoiding legal claims associated with the decision....more

Bennett Jones LLP

Termination Provisions and the Perils of Imprecise Drafting: Key Lessons from De Castro v Arista Homes Limited

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The Ontario Court of Appeal’s recent decision in De Castro v Arista Homes Limited, 2025 ONCA 260 (De Castro) provides Ontario employers with yet another reminder about the importance of clear and concise drafting in...more

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