Termination provisions: A novel twist

By Nikolay Chsherbinin ( July 17, 2020, 1:23 PM EDT) -- A termination clause is only enforceable if it conforms to the provisions of the Employment Standards Act, 2000 (ESA). If the clause’s application “potentially” violates the ESA in the future, it is void. The issue of enforceability of termination clauses does not cease to vacillate. An employment case in point is Rutledge v. Canaan Construction Inc. 2020 ONSC 4246, where the Divisional Court decided that “even a potential violation of the ESA, no matter how remote, should be unenforceable.” [emphasis added] An elimination of a need for proximity represents a crescendo of expansion of this legal principle. As will be argued, I am of the view that Rutledge was wrongly decided and should be appealed....