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Ontario Contract Terms

Bennett Jones LLP

A Clarified Approach to Exclusion Clauses in Contracts for Sale of Goods

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Exclusion clauses are a common feature of agreements of purchase and sale and other commercial contracts. While often subject to negotiation, parties sometimes proceed with standard form exclusion clauses that may inject...more

Stikeman Elliott LLP

Interpreting Exclusion Clauses in Contracts for the Sale of Goods: Important Guidance from the Supreme Court of Canada

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On May 31, 2024, the Supreme Court of Canada released its highly anticipated decision in Earthco Soil Mixtures Inc. v. Pine Valley Enterprises Inc., 2024 SCC 20 (“Pine Valley”), clarifying how contracting parties can exclude...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

Stikeman Elliott LLP

Ontario Court Rules Employer's Discretion to Terminate is Shackled by the ESA

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In Dufault v. The Corporation of the Township of Ignace ("Dufault"), the Ontario Superior Court of Justice, on a summary judgment motion, found the termination without cause provision of a fixed-term employment contract...more

Bennett Jones LLP

Prompt Payment Update—Ontario Superior Court Confirms Adjudicator's Decision Is Not Final

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The enactment of prompt payment and fast-track adjudication legislation across Canada has created some uncertainty regarding the finality of an adjudicator's decision. In the recent decision of the Ontario Superior Court of...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

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

Court of Appeal for Ontario Upholds Decision That Serves as Warning Against Relying on Historical Employment Contracts

The Court of Appeal for Ontario recently released a decision that affirmed the key legal principles and considerations courts will rely on when determining the enforceability of a historically written contract that no longer...more

Stikeman Elliott LLP

“Fixing” the Term of Employment: Fixed-Term Agreement defends against Wrongful Dismissal Claim

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In the recent Steele v. The Corporation of the City of Barrie, 2022 ONSC 7245 decision (“Steele”), the Ontario Superior Court of Justice provided some insight into when longer term fixed-term contracts can be enforceable....more

Bennett Jones LLP

Requisitioning the Closure of Open Building Permits

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​​​​​​​Ontario courts have long wrestled with whether requisitioning the closure of an open building permit is a valid buyer requisition when made pursuant to a standard Ontario Real Estate Association (OREA) real estate form...more

Littler

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

Stikeman Elliott LLP

Cineplex Awarded $1.24 Billion in Lost Synergies from Failed Cineworld Acquisition: Company’s Pandemic Response Not Out of the...

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In a highly anticipated decision, the Ontario Superior Court of Justice – Commercial List held that Cineworld wrongly terminated its arrangement agreement to acquire Cineplex, which was awarded substantial damages....more

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Ontario, Canada Court Reminds Employers it is Important to Adhere to Their Contracts’ Termination Provisions

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In Perretta v. Rand A Technology Corporation, 2021 ONSC 2111, Ontario’s Superior Court of Justice ordered an employer to pay an employee damages for reasonable notice at common law when it decided the employer repudiated its...more

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Ontario, Canada Court Finds Employee Repudiated Her Employment Contract When She Refused to Work Unless New Conditions Were Met

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In Anderson v Total Instant Lawns Ltd, 2021 ONSC 2933 (Total Instant Lawns), an employee claimed her job was terminated and sought damages for wrongful dismissal.  The employer denied the employee was dismissed and argued...more

Littler

Ontario, Canada Court Reminds Employers that Improperly Drafted Restrictive Covenants are Unenforceable

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In Labrador Recycling Inc. v. Folino, 2021 ONSC 2195 (Labrador Recycling), Ontario’s Superior Court denied an employer’s motion for an urgent injunction to restrain its former employee from competing with it contrary to the...more

Dickinson Wright

Onerous Conditions

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In my previous blog (Volume 1, Number 2), I discussed the importance of reading contracts before signing them. As a refresher, if you sign a contract, you are generally bound by the terms of the contract even if you had not...more

Littler

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

Littler

Ontario, Canada: In Significant Decision, Court of Appeal Analyzes Employment Agreement as a Whole When Evaluating Enforceability...

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On June 17, 2020, in Waksdale v. Swegon North America Inc., the Ontario Court of Appeal rendered a decision pertaining to the enforceability of termination provisions in employment contracts.  ...more

Littler

Ontario, Canada: Court of Appeal Upholds Dismissed Employee’s Right to Damages for Value of Incentives That Would Have Vested...

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Whether a wrongfully dismissed employee is entitled to damages as compensation for the value of incentives that would have vested during the reasonable notice period is frequently litigated in Canada....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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Deal or no Deal? Ontario, Canada Court Determines Employer and Employees Agreed to Settlement Absent Written Contract

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In a recent appeal to the Divisional Court of Ontario’s Superior Court in Shete, Lada, and Chung v. Bombardier Inc., 2019 ONSC 4083, the court applied the most basic principle that serves as the foundation of common law...more

Bennett Jones LLP

Prompt Payment for Construction in Ontario

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Prompt payment arrived for Ontario's construction industry October 1, 2019. The final stage of implementation of the changes introduced the Construction Lien Amendment Act, 2017, came into force on October 1, 2019. Subject to...more

Littler

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

Dickinson Wright

Summary of Amendments to Construction Lien Act

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In December 2017, the Ontario Legislature passed the Construction Lien Amendment Act, 2017 (the "Act"). The Act introduces significant changes to Ontario’s construction lien regime and is intended to reduce delays in...more

Littler

Ontario, Canada: Limiting Bonus Entitlements When Employment Ends

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The Ontario Court of Appeal recently upheld a lower court’s dismissal of an employee’s claim for payment of a bonus after resignation because the employer’s non-discretionary bonus policy included an “active employment”...more

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