By: Julius Melnitzer | May 19, 2025
A recent Ontario Superior Court decision demonstrates that it remains possible for employers to insert enforceable termination clauses in employment contracts.
For some five years now, a host of decisions have struck down as unenforceable termination clauses that purport to displace employees’ right to reasonable notice or pay in lieu thereof. Almost always, the basis for these rulings is that the impugned clause offends the province’s Employment Standards Act by undermining its minimum requirements for employees’ entitlement on termination.
Datastealth employed Gavin Bertsch for slightly more than eight months before the company terminated him without cause. Although Bertsch received a termination package that exceeded his minimum entitlements under the ESA, he wasn’t satisfied and sued for wrongful dismissal, claiming damages based on reasonable notice.
But Bertsch’s employment agreement contained a termination clause, which stated… MORE
Julius Melnitzer is a Toronto-based legal affairs writer, ghostwriter, writing coach and media trainer. Readers can reach him at julius@legalwriter.net or on his website.
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