Arbitration Clauses — Ontario Employment Law

N. v. Callidus Capital Corporation

This case addresses the validity of termination provisions and an arbitration clause within an employment contract under the Employment Standards Act, 2000.

L. v Dealnet Capital Corporation

Employment Arbitration Clause Validity Appeal

This is an appeal to the Divisional Court concerning the validity of an arbitration clause in an employment agreement and its interaction with the Employment Standards Act, 2000. The court dismissed the appeal, finding that the governing law clause recognized the primacy of the ESA and that the validity issue required interpretation of the agreement rather than precluding a Ministry of Labour complaint.

G. v. Knights of Columbus

G. v. Knights Columbus: Arbitration & Employment Status

This is an appeal to the Court of Appeal from a motion judge's decision dismissing a motion to stay a wrongful dismissal action in favour of arbitration. The employee worked as a field agent selling insurance products for the employer. The motion judge dismissed the employer's motion, finding that the updated contracts containing the arbitration clauses were invalid because the employee received no fresh consideration for signing them. The Court of Appeal agreed and dismissed the appeal, holding that the employer failed to provide fresh consideration for the restrictive new terms. The court also clarified that the employee's ultimate status as an employee or independent contractor remains to be decided at trial.

Heller v. Uber Technologies Inc.

Heller v. Uber: Class Action Employment Status

This is a class action proceeding where plaintiffs alleged they were employees of Uber Technologies Inc. and entitled to protections under the Employment Standards Act, 2000. The court addressed whether the Class Action Waiver and Arbitration Clause in Uber’s Service Agreements violated employment law and contract principles, specifically analyzing unconscionability and public policy.

Heller v. Uber Technologies Inc.

Heller v. Uber: Class Action Employment Contract Dispute

This is a procedural motion in a class action lawsuit where plaintiffs sought to amend their statement of claim to certify an additional common issue regarding the validity of an Arbitration and Class Action Waiver Clause in their employment contracts. The defendants sought to amend class action notices to inform members of the clause's impact. The court considered whether to schedule these motions together under Section 12 of the Class Proceedings Act, 1992, to ensure fair and expeditious determination.

I. v. Protiviti

I. v. Protiviti: Arbitration Clause Validity

This is an appeal to the Court of Appeal from a motion judge's decision to stay a constructive dismissal lawsuit in favour of arbitration. The employee sued her employer, but the employer argued the dispute belonged in arbitration based on a clause in the employment contract. The motion judge stayed the court action, ruling that the arbitrator must decide if the arbitration clause itself was legally valid. The Court of Appeal quashed the employee's appeal because the governing legislation strictly bars appeals of this type of order. The court confirmed that the arbitrator must resolve the complex factual issues regarding the contract's validity, meaning the stay of proceedings stands.

L. v. Dealnet Capital Corporation

Enforceability of Arbitration Clauses in Employment Contracts

This is an appeal to the Divisional Court regarding the enforceability of arbitration clauses in employment contracts and whether they contravene the Employment Standards Act by contracting out of statutory rights. The court addressed the validity of governing law and saving provisions, as well as procedural issues regarding the appeal itself.

I. v. Protiviti

Constructive Dismissal: Arbitration Clause Jurisdiction

This is a jurisdictional dispute arising from a constructive dismissal claim where the court determined whether an arbitration clause barred the employee from pursuing claims under the Employment Standards Act, 2000.

Heller v. Uber Technologies Inc.

Heller v. Uber: Arbitration Clause Invalidated

This is an appeal concerning the validity of an arbitration clause in agreements between Uber and its drivers. The Court of Appeal for Ontario invalidated the clause, finding it constituted illegal contracting out of employment standards under the Employment Standards Act, 2000, and was unconscionable. The court held that the clause eliminated statutory rights and was substantially improvident, thereby precluding a mandatory stay of proceedings. This decision was appealed to the Supreme Court of Canada, which upheld it (Uber Technologies Inc. v. Heller, 2020 SCC 16). The Supreme Court dismissed Uber's appeal, affirming the Court of Appeal's decision that the arbitration clause was unconscionable and invalid. As a result, Heller's class proceeding is not stayed and can proceed in Ontario courts.

R. v. M.

Arbitration Clause in Employment Contract Stay

This is an interlocutory motion regarding whether to stay employment-related proceedings in favor of arbitration under the Arbitration Act, 1991. The court addressed whether the arbitration clause was severable from the main employment contract and enforceable despite allegations of lack of consideration. The court granted a stay of proceedings and awarded costs to the defendants.

P. v. Kanbay International Inc.

Wrongful Dismissal and Misrepresentation: Arbitration Clause Dispute in Employment Case

A wrongful dismissal case where the plaintiff alleged negligent misrepresentation by the defendants regarding equity ownership in the company, inducing him to accept employment. The defendants sought to stay the claims related to shares, arguing they were subject to arbitration. The court considered whether the claims should proceed in court or arbitration, and whether Ontario courts had jurisdiction to hear the employment-related claims.

E. v. Merit

Wrongful Dismissal: Employment Status Dispute Requiring Trial

A wrongful dismissal case where the plaintiff claimed an employment relationship, while the defendant argued the plaintiff was an independent contractor. The court found that there was a genuine issue regarding the employment status, requiring a trial to weigh conflicting evidence.

L. v. Onbelay Automotive Coatings Corp.

Wrongful Dismissal and Defamation: Arbitration Clause Not Applicable to Employment Claims

A wrongful dismissal and defamation case where the plaintiff alleged misconduct by the employer and its officer. The defendants sought to stay the claims and refer them to arbitration under a Share Purchase Agreement, but the court ruled that the arbitration clause did not apply to the employment-related claims, which were to be resolved in Ontario courts.

R. v. Christian & Timbers Inc.

Wrongful Dismissal Case Involving Arbitration Clause Under Ohio Law

A wrongful dismissal action brought in Ontario where the defendant sought a stay of proceedings under the Arbitration Act, 1991, based on an arbitration clause requiring disputes to be resolved under Ohio law. The court considered whether the arbitration clause contravened Ontario public policy or the Employment Standards Act and whether the employment agreement was valid despite the plaintiff not signing it.

H. v. Primerica Financial Services Ltd.

Arbitration Clause: Pre-Contractual Training & Min Wage

This is an appeal to the Court of Appeal from a motion judge's decision refusing to stay an employment action in favour of arbitration. The employee sued the employer for unpaid minimum wage during a mandatory training period that took place before she signed her contract. The motion judge ruled that the arbitration clause in the later contract did not apply retrospectively to the earlier training period. The Court of Appeal dismissed the employer's appeal, agreeing that the arbitration clause only covered disputes arising from the commercial relationship created by the contract. The employee's proposed class action is allowed to proceed in court.

B. v. Otis Elevator Co. Ltd.

Wrongful Dismissal and Collective Agreements: Court Jurisdiction and Severance Pay

A wrongful dismissal case involving an employee covered by a collective agreement who brought a claim in court despite an arbitration clause. The case examines whether the court has jurisdiction to hear the claim under the Labour Relations Act and whether the employee can claim severance pay when the collective agreement does not explicitly address it.

R. v. Adrema Limited et al.

Wrongful Dismissal and Arbitration Clauses in Employment Contracts

A wrongful dismissal case involving an employment contract with an arbitration clause. The court considered whether disputes involving mixed legal and factual issues, such as wrongful dismissal, should proceed to arbitration or be resolved in court, focusing on the court's discretion to allow litigation when legal issues predominate.

R. v. Adrema Ltd. and Farrington-Bradma Ltd.

Wrongful Dismissal and Jurisdiction: Employment Contract Dispute with Foreign Defendant

A wrongful dismissal case where the plaintiff was dismissed and issued a writ against a foreign defendant for unpaid commissions and wrongful dismissal. The employment contract was executed in England but partially performed in Ontario, raising jurisdictional issues. The court held that the breach of contract in Ontario was sufficient to establish jurisdiction and that the foreign defendant's unconditional appearance waived the right to object to jurisdiction.