Apotex Inc. v Kalinka

2016 CanLII 81983 (ON SC)Decided Employment contract

Employee Misconduct: Disgorgement & Bonus Forfeiture

Summary

This case addresses whether an employee engaged in unauthorized business dealings breached their fiduciary duties and employment contract, and whether they could retain payments received during that period. The court ordered disgorgement of profits for the breach of employment obligations and upheld an inference drawn from the defendants' refusal to provide evidence. Additionally, the court corrected the judgment to include omitted invoices and dismissed a counterclaim for a bonus, ruling that the breach of contract resulted in the forfeiture of that entitlement.

Outcome

Disgorgement ordered; judgment corrected; bonus counterclaim dismissed

Award

Disgorgement of profits ordered for breach of employment obligations; judgment corrected to include omitted invoices; bonus entitlement forfeited due to breach of contract

Key Factors

  • breach of fiduciary duty
  • disgorgement of profits
  • breach of employment contract
  • forfeiture of bonus
  • unauthorized business dealings

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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.