An interesting decision from the Ontario Superior Court came out last recently concerning when the limitations period begins to run for claims of wrongful dismissal and statutory severance pay. In the case in question, the Court held that the limitation period to claim unpaid statutory severance pay commences as soon as working notice of dismissal is issued to an employee.
A recent decision from the Ontario Superior Court of Justice touches upon a little discussed area of employment law. Specifically, when does the limitation period clock start running for a claim of wrongful dismissal?
The Ontario Court of Appeal weighed in, to some extent, on the hot issue of enforceability of termination clauses in a recent decision. In this case, the clause at issue was written in French. The Applicant argued that the Motion Judge’s interpretation of the clause only referred to “notice” and not “severance” and therefore the termination clause was an unlawful attempt to contract out of the Employment Standards Act because it did not expressly provide for the payment of severance and there are a number of cases suggesting such clauses are void.