Ontario Severance

M. v Ontario Potato Distribution Inc.

2022 ONSC 1490 (CanLII)Ontario Superior Court of JusticeDecided Constructive dismissal

Constructive Dismissal Claim Dismissed

Summary

This is a merits decision in a wrongful and constructive dismissal case where the plaintiff alleged a hostile work environment forced their resignation. The court found no evidence that the alleged threatening incident occurred or that the defendant was involved, ruling the resignation was voluntary and unequivocal, and thus dismissed the claim. The court also addressed hypothetical damages, noting that ten months' notice would have been appropriate if the dismissal had occurred, and declined to rule on the deductibility of CERB payments pending further submissions.

Outcome

Claim dismissed

Award

None; claim dismissed.

Key Factors

  • constructive dismissal
  • hostile work environment
  • voluntary resignation
  • Bardal factors
  • CERB deductibility

Related Cases

T. v. Salytics Inc.

2026 ONCA 621 (CanLII) · 2026-09-03

T. v. Salytics: Constructive Dismissal Appeal

The Court of Appeal for Ontario dismissed an appeal challenging a ruling that a temporary lay-off clause was not a termination clause under the Employment Standards Act, 2000. The court addressed whether the lay-off constituted constructive dismissal at common law and interpreted the employment agreement's substance over form, confirming that the clause incorporated ESA requirements.

F. v. Susur Lee Group Inc.

2026 ONSC 4380 (CanLII) · 2026-07-28

Constructive Dismissal Appeal: Condonation and Mitigation

This is an appeal to the Divisional Court from a trial judge's decision in a constructive dismissal case involving the Susur Lee Group Inc. The appeal addressed whether the employee's silence and delayed proceedings constituted condonation of the employer's repudiatory breach, whether ESA payments during a closure amounted to a return to work, and whether continued work could serve as mitigation. The Divisional Court found legal errors in the trial judge's analysis regarding condonation, the effect of ESA payments, and mitigation, allowing the appeal and ordering a new trial.

F. v. ProRich Seeds (2016) Inc.

2026 ONSC 4161 (CanLII) · 2026-07-16

Constructive Dismissal: Dependent Contractor Awarded 21 Months Notice

This case addresses whether a salesperson was an employee, independent contractor, or dependent contractor, ultimately finding dependent contractor status. The court held that the employer's unilateral withholding of a long-standing monthly advance constituted constructive dismissal, entitling the plaintiff to reasonable notice.

N. v. Township of Morley

2026 ONSC 3772 (CanLII) · 2026-06-26

Constructive Dismissal: Potter Test Applied

This wrongful dismissal case addressed whether the Township of Morley's actions constituted a constructive dismissal of the employee. The court found that the employer did not unilaterally change an essential term of the contract and that a reasonable employee would have persevered, thus constructive dismissal was not established. Consequently, the claim for damages was dismissed, although an alternative assessment of notice was noted as one year reduced to six months had liability been found.

F. v. Sigma Lithium Corporation

2026 ONSC 2596 (CanLII) · 2026-05-01

Constructive Dismissal: Damages for Unilateral Modifications

This case addresses whether unilateral modifications to duties and marginalization amounted to constructive dismissal, applying the Bardol factors to determine reasonable notice. The court found constructive dismissal established and awarded damages in lieu of notice, along with aggravated and punitive damages due to the employer's egregious conduct.

More Ontario employment decisions from 2022

This summary was written by AI from the published decision and its headnote. It is not an official version of the decision; read the full text on CanLII before relying on it. This is legal information, not legal advice. Ontario Severance is an educational tool. If you are facing a serious employment law matter, consult with a qualified employment lawyer in Ontario.