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early termination of fixed term contracts

Divisional court finds employer demonstrated bad faith and acted as “puppeteer” in wrongful termination case of fixed-term independent contractor

The recent case of Radikov v. Premier Project Consultants Ltd et al. is a cautionary tale of the importance of good faith in consulting contracts after the Ontario Superior Court of Justice dismissed Premier’s appeal, finding Premier had acted as a “puppeteer” by keeping Mr. Radikov at its “beck and call” before terminating his fixed term contract two days before completion and refusing to pay the outstanding fixed-term contract price.

 

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Danger of fixed term contract avoided

The recent decision in Tossonian v. Cynphany Diamonds Inc. highlights the importance for both employees and employers to clearly specify the fundamental terms of an employment contract in writing including the “term” of the contract.

 

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