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Termination clause beatdown: Waksdale v. Swegon North America Inc.

By Sean O’Donnell ( July 6, 2020, 1:19 PM EDT) -- In the past year or so, the Ontario Court of Appeal has rendered several impactful decisions relative to the unenforceability of termination clauses. Released June 17, the Court of Appeal delivered a very employee-friendly decision rendering a termination clause unenforceable. In Waksdale v. Swegon North America Inc. 2020 ONCA 391, the court struck down a valid “without cause” termination subclause because the “for cause” termination subclause was held to be unenforceable. In this monumental decision, the court concluded that the severability clause cannot apply to sever the offending portion of the termination clause, and therefore the entire termination clause must fall....