Schofield v. Schofield

2007 CanLII 48661 (ON SC)Decided Employment contract

Enforceability of Non-Competition Clause in Employment Agreement

Summary

A case involving the enforceability of a non-competition clause in an employment agreement during the sale of a business. The court considered the reasonableness of the clause's scope and applied the RJR-MacDonald test. The case also included allegations of misuse of confidential information and the granting of an injunction to prevent its disclosure.

Outcome

Injunction granted to restrain use or disclosure of confidential information; costs awarded to the plaintiff at $55,000 for fees and $5,679 for disbursements.

Award

Costs awarded to the plaintiff: $55,000 for fees and $5,679 for disbursements.

Key Factors

  • non-competition clauses
  • enforceability of restrictive covenants
  • RJR-MacDonald test
  • misuse of confidential information
  • injunction granted

Related Cases

Cross v. Cooling Tower Maintenance Inc.

2025 ONSC 7203 (CanLII) · 2025-12-23

Employment Contract Dispute: Summary Judgment and Lump Sum Payment

A case involving the interpretation and enforcement of a settlement agreement in an employment context. The court granted summary judgment, finding that the failure to disclose re-employment did not constitute repudiation, and ordered the payment of a lump sum. The court also dismissed a counterclaim for punitive damages.

Barnett v. Canadian Nuclear Laboratories Ltd.

2025 ONSC 6400 (CanLII) · 2025-11-17

Employment Contract: Forum Selection Clause Validity and Enforceability

A civil procedure case examining the enforceability of a forum selection clause in an employment contract. The court found the clause valid and enforceable, despite the plaintiff's transition to a new employer and the defendant's arguments for a more appropriate forum in Manitoba.

Liggett v. Veeva Software Systems, Inc. and Veeva Systems Inc.

2025 ONSC 7010 (CanLII) · 2025-10-07

Employment Contract Dispute: Termination Clause and Reasonable Notice

A case involving the enforceability of a termination clause under the Employment Standards Act, 2000, and the determination of reasonable notice for a senior product manager. The court also addressed the award of benefits and incentive compensation during the notice period.

McCoubrey v. Salesfloor Inc.

2025 ONSC 3739 (CanLII) · 2025-06-24

Employment Contract Case: Commission Policies and Entitlements

A case involving the interpretation of employment agreements and commission policies. The court determined that the 2020 Commission Policy governed the plaintiff's entitlements and that the plaintiff was entitled to $61,228.28 USD in commissions for deals she was the effective cause of before her resignation.

Riva Plumbing Limited v. Ferrari

2025 ONSC 3219 (CanLII) · 2025-05-29

Employment Contract Dispute: Pro-Rated Bonuses Awarded

A case involving former employees of a plumbing business who were accused of breaching fiduciary duties and non-competition clauses. The court ruled that there was no breach of duties as the employees did not compete during their employment or misuse confidential information. Additionally, the court determined that the employees were entitled to pro-rated bonuses under oral agreements despite resigning before the fiscal year-end.

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.