• First Reference
  • About us
  • Contact us
  • Blog Signup 📨

First Reference Talks

Discussions on Human Resources, Employment Law, Payroll and Internal Controls

  • Home
  • About
  • Archives
  • Resources
  • Buy Policies
You are here: Home / Employee Relations / Slaw: Employee terminated for theft still entitled to bonus

By Marie-Yosie Saint-Cyr, LL.B. Managing Editor | < 1 Minutes Read May 10, 2012

Slaw: Employee terminated for theft still entitled to bonus

The Ontario Court of Appeal recently confirmed that when an employee was terminated for stealing from his employer, he was still entitled to his annual bonus because it was clearly an integral part of his contract, even if he had breached his fiduciary duty.

Facts of the case

An executive at a development firm misappropriated the employer’s labour, materials and funds to renovate his home. When the employer discovered the wrongdoing, the employer terminated the employee for cause and subsequently sued the executive for damages for conversion, breach of employment contract, unjust enrichment and breach of fiduciary duty. The employee counterclaimed in respect of his bonuses for 2007 and 2008, which the employer did not think it had to pay the employee after what happened.

The parties ultimately submitted the dispute to arbitration.

At arbitration, the employee was found to owe the company a fiduciary duty given that he was an officer of the company and one of the few trusted individuals there. However, the arbitrator found the executive was still entitled to his annual bonus equal to 30 percent of the employer’s profits after overhead because it made up an integral part of his employment contract from the very first day he joined the firm. Hence, the arbitrator awarded the employee $364,661.33 to satisfy his unpaid bonuses for 2007 and 2008.

To read more, check out my latest post on Slaw.

  • About
  • Latest Posts
Follow me
Marie-Yosie Saint-Cyr, LL.B. Managing Editor
Managing Editor at First Reference Inc.
Marie-Yosie Saint-Cyr, LL.B., is a trained lawyer called to the Quebec bar in 1988 and is still a member in good standing. She practiced business, employment and labour law until 1999. For over 20 years, Yosie has been the Managing Editor at First Reference. She manages the PolicyPro Human Resources and Internal Controls editions, The Human Resources Advisor editions, PaySource and the HRinfodesk news service as well as the blogs. Marie-Yosie (a.k.a. Yosie) is a recognized and respected author, with an extensive background in human resources, employment and labour across the country.
Follow me
Latest posts by Marie-Yosie Saint-Cyr, LL.B. Managing Editor (see all)
  • First Reference annual holiday donation, season’s greetings, and holiday break - December 23, 2022
  • Top 10+ First Reference Talks blog posts for 2022 - December 23, 2022
  • EI sickness benefits extending on December 18 - November 29, 2022

Article by Marie-Yosie Saint-Cyr, LL.B. Managing Editor / Employee Relations, Employment Standards, Payroll / breach of fiduciary duty, employee theft, employment contract, employment law, fiduciary duties, Managing Difficult Terminations, Ontario Court of Appeal, terminations

Share with a friend or colleague

Get the Latest Posts in your Inbox for Free!

Electronic monitoring

About Marie-Yosie Saint-Cyr, LL.B. Managing Editor

Marie-Yosie Saint-Cyr, LL.B., is a trained lawyer called to the Quebec bar in 1988 and is still a member in good standing. She practiced business, employment and labour law until 1999. For over 20 years, Yosie has been the Managing Editor at First Reference. She manages the PolicyPro Human Resources and Internal Controls editions, The Human Resources Advisor editions, PaySource and the HRinfodesk news service as well as the blogs. Marie-Yosie (a.k.a. Yosie) is a recognized and respected author, with an extensive background in human resources, employment and labour across the country.

Footer

About us

Established in 1995, First Reference is the leading publisher of up to date, practical and authoritative HR compliance and policy databases that are essential to ensure organizations meet their due diligence and duty of care requirements.

First Reference Talks

  • Home
  • About
  • Archives
  • Resources
  • Buy Policies

Main Menu

  • About First Reference
  • Resources
  • Contact us
  • 1 800 750 8175

Stay Connected

  • Facebook
  • LinkedIn
  • Twitter
  • YouTube

We welcome your comments on our blog articles. However, we do not respond to specific legal questions in this space.
We do not provide any form of legal advice or legal opinion. Please consult a lawyer in your jurisdiction or try one of our products.


Copyright © 2009 - 2023 · First Reference Inc. · All Rights Reserved
Legal and Copyright Notices · Publisher's Disclaimer · Privacy Policy · Accessibility Policy