Court decision
Replied "I accept"? Your severance deal may be final
Your employer offers a package and a deadline. You reply "I accept" by email and plan to sign the release later. An Ontario court has just shown that the email alone can lock in the deal, even if the release is never signed.
What happened
A store manager, rehired in May 2022, was on a leave his employer had imposed when it wrote to him on August 11, 2023. The letter gave him two options: come back with updated medical documents and a performance improvement plan, or leave by mutual agreement on September 1 with eight weeks' base pay ($11,353.60), paid once he signed a full and final release.
He asked for more time to see a lawyer and got two extensions. On September 1, 2023 he emailed that he accepted the offer "including the details and compensation" and would sign the release once he received it.
He never signed. After the employer's paperwork wrongly said he was dismissed for cause (it fixed that when he pointed it out), he took out a loan and, in November 2023, sued for wrongful dismissal instead.
What the court decided
On February 18, 2026, the Superior Court enforced the deal and dismissed his lawsuit in S. v. Starbucks Coffee Canada Inc., 2026 ONSC 1030. It ordered him to sign the release. The judge found that:
- An email can accept an offer. His reply made a binding settlement agreement.
- "I'll sign later" doesn't keep the door open. The essential terms were agreed, so the release still to come didn't make the deal incomplete. Not signing it was a breach.
- A corrected mistake isn't a way out. The "for cause" error was fixed, so the employer hadn't walked away from the deal.
- Money pressure must be proven. He said he only accepted because he couldn't pay his bills, but filed no bank statements, rent or bills. With extensions and a lawyer, there was no duress.
Before you reply to an offer
- Treat "I accept" as your signature. Don't send it, by email or text, until you're sure.
- Ask for more time, in writing. This employer gave two extensions.
- Know your floor. Your Employment Standards Act minimum can't be waived by any agreement (s. 5(1)).
- Compare the offer with what courts award. Courts often award more than the minimum, and the calculator shows both.
See what courts could award you
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Ontario Severance is independent and isn't a law firm; this is general information. From a chat or a calculator result, you can ask us for help finding an employment lawyer, and we reply within one business day.
Sources
This article is general information about Ontario employment law, not legal advice. The law and its application change, and every case turns on its own facts: for advice about your situation, speak with an Ontario employment lawyer.
