Chapter

Employment Contracts

Formation, interpretation, termination provisions, incentives and restrictive covenants.

Harris on Canadian Employment Law
Cases · Commentary · Damage charts · Research indexes

Older Cases Likely Staledated

  Earlier Cases Not Consistent with Modern Law Mesgarlou v 3XS Enterprises Inc. is a September 2002 decision of Rutherford, J. of the Ontario Superior Court. The contract in question spoke to the right of termination without cause in these

Statutes Offside Human Rights

  Statutes Contrary to Charter Protections Provincial statutes offering workers’ compensation benefits showing differing entitlements based on mental as opposed to physical disabilities have been found to be in violation of the Charter of Rights and Freedoms. The Ontario Disability

Ontario Bans Non-Compete

Overview Effective October 25, 2021 employers are prohibited from entering into employment contracts or other agreements with an employee that include a non-compete agreement. A non-compete agreement is defined as an agreement, or any part of an agreement, between an

Other Jurisdictions re Stat Notice & Fixed Term Contract

B.C.’s statute has a similar provision which eliminates the need for statutory notice for a fixed term contract which is 12 months or less in duration. It also has the same term requiring this notice if the fixed term expires

Check List to Enforce an Employment Contract

  Timing Ideally the proposed employment contract should be sent to the potential employee with the first offer of employment. Include any significant manuals as appendices to the employment agreement. Suggest independent legal advice. ESA Ensure that the termination clause

Statutorily Conflicted

This is a different issue from the oppression remedy discussed above. The Canada Business Corporations Act contains a provision, which although considered in the above decision of UPM-Kymmene Corp v UPM-Kymmene Miramichi Inc, was not the propelling rationale of the

Employer’s Plea

Cases are few in which it is the employer which makes the submission that the contract is unfair, as reviewed above. In one such unusual case, the termination provision in the employment agreement was found to be unconscionable, as a

Settlement Agreement

The question will arise as to whether a settlement agreement may be set aside as unconscionable, as reviewed above. The Supreme Court of Newfoundland and Labrador in Howell v Reitmans noted that the Supreme Court of Canada in Wallace spoke

Degree of Unfairness

Degree of Unfairness – Old Law Many cases have commented upon the nature of the advantage that has been taken by the party in power, which is most often the employer, over the other. The vocabulary may change from case

Inequality of Bargaining Power

Inherent Vulnerability This branch of the test of unconscionability test is advantaged in the employment context. Employment agreements have been given a unique classification which distinguishes them form typical commercial contracts. They “rarely result from an exercise of free bargaining

Independent Canadian employment law analysis by David Q. Harris.

For Mediation of Employment Law & Workplace Human Rights Issues