Alberta Court of Appeal helps employers ring in the New Year in Style(s)

January 15, 2017 0 COMMENTS

by Kyla Stott-Jess

The Alberta Court of Appeal has released its first decision of 2017Styles v. Alberta Investment Management Corporation, 2017 ABCA 1and it is undoubtedly welcome news (and a nice gift) to employers.

The issue of whether or not a dismissed employee is entitled to bonus compensation during the period of reasonable notice has been a hot topic as of late. In Styles, the Alberta Court of Appeal weighed in and concluded that (1) in the event of a without-cause termination, an employer is not obligated to provide the employee with reasons for the termination; and (2) employees are not entitled to bonus payouts where they have not met the contractual preconditions. Suffice it to say, Styles looks to be ringing in a better 2017 for employers.

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Post-contractual duty to act faithfully: a protection limited to a (too) reasonable period

October 21, 2012 0 COMMENTS

by Isabelle East-Richard

Throughout Canada, whether under article 2088 of the Civil Code of Québec in Quebec or the common law elsewhere, employees have a duty to act faithfully and honestly toward their employer once the employment relationship has ended. That is the case even when there is no noncompetition clause in an employment contract.

Although some have thought that this duty to act faithfully and honestly may give employers protection against competition from their former employees, that protection may be limited. Indeed, in 9129-3845 Québec inc., the Quebec Court of Appeal recently said that it was reasonable for such a duty to last only three months following the termination of employment.

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