Starting in 2006, Mark's Work Wearhouse in Alberta was running background credit checks on employees looking for work at the clothing store. Not criminal record checks; not general reference checks; credit checks.
I recently read an Alberta case where a financial consultant, a top performer, was terminated without notice. The court found he was wrongfully dismissed and terminated in an insensitive manner; this error in judgment cost the employer $2.2 million in damages.
Clearly, if a court finds that one party has been dishonest, it will have serious negative repercussions with respect to their chances of success. It can also result in a cost award against them. The question for today, however, is whether it is appropriate to also find parties who lie during the litigation process in contempt, and if so, what the appropriate penalty should be.