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fixed notice period

By Alison J. Bird | 3 Minutes Read July 25, 2012

No duty to mitigate where employment contract stipulates severance

Rule of lawOn June 21, the Ontario Court of Appeal reversed the trial decision in Bowes v. Goss. It held that the duty to mitigate does not apply where an employment contract contains a clause setting out an employee's severance entitlement arising from a termination without cause. However, the decision maintains the duty to mitigate where it is expressly incorporated in the employment contract.

Article by Alison J. Bird / Employee Relations, Employment Standards, Payroll / common law reasonable notice, duty to mitigate, employment contract, employment law, fixed notice period, reasonable notice, severance, severance entitlement, termination without cause, terminations, wrongful dismissal

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