Fiduciary Duties — Ontario Employment Law

C. v. W.

C. v. W.: Fiduciary Duties and Joint Ventures

This was an appeal to the Court of Appeal from a trial judge's decision dismissing the plaintiffs' claims and allowing the defendants' counterclaim for breach of contract. The employee and his company claimed breach of confidence, breach of fiduciary duty, and breach of a joint venture agreement regarding a research and development project, while the employer counterclaimed for negligent misrepresentation and breach of contract. The trial judge dismissed the plaintiffs' claims and awarded $1 to the employer on the counterclaim because the employee took work product when he resigned. The Court of Appeal upheld the dismissal of the plaintiffs' claims because they were employees and commercial parties with no joint venture or fiduciary relationship, but allowed the appeal on the counterclaim, dismissing it because the breach was not pleaded and there was no evidence of what was taken. The costs appeal was dismissed.

Riva Plumbing Limited v. F.

Riva Plumbing Limited v. F. - Unpaid Bonus, Non-Compete

This is an appeal to the Court of Appeal from a trial judge's decision dismissing the appellants' claims and allowing a counterclaim. The employer sued former employees for economic torts, breach of fiduciary duties, and breach of a settlement agreement containing non-competition clauses. One former employee counterclaimed for an unpaid bonus. The trial judge dismissed the employer's claims due to lack of evidence and allowed the counterclaim, finding the bonus was non-discretionary and did not require ongoing employment. The Court of Appeal dismissed the appeal, finding no errors in the trial judge's factual and credibility findings.

F. v. P.

F. v. P.: Employer Wins Summary Judgment for Fraud

This is an appeal to the Court of Appeal from a summary judgment decision in an action for fraud, conversion, and breach of fiduciary duty against a former employee. The employer, Capital Canada, and its owner sued the former office manager and her husband after discovering unauthorized transfers of over $1.1 million from the owner's personal accounts to the employee. The motion judge granted summary judgment against the employee for damages and punitive damages, and ordered a reference to trace funds to her husband for a knowing receipt claim. The Court of Appeal dismissed the employee's appeal, except to set aside the punitive damages award in favour of the corporate employer, finding the motion judge made no reversible error in concluding she misappropriated the funds. The Court of Appeal allowed the husband's appeal, dismissing the knowing assistance claim and directing the knowing receipt claim to trial because actual receipt of funds by him was a genuine issue requiring a trial.

Titus Steel Company Limited v. H.

Former Employee Fiduciary Duties Appeal

This is an appeal from a trial decision concerning a former employee who established a competing business after resigning. The Court of Appeal reviewed whether the respondent owed fiduciary duties, whether those duties were breached, and whether the trial judge's reasons were sufficient for appellate review. The appeal was dismissed as there was no reversible error in the trial judge's findings.

T. v. D.

Termination for Cause: Fraud and Fiduciary Breach

This case addresses whether an employee's termination for cause was justified following a fraudulent invoicing scheme and breach of fiduciary duties. The court applied the McKinley test to determine if the dishonest conduct warranted dismissal, ultimately upholding the termination as a proportionate response to the breach of trust.

Riva Plumbing Limited v. F.

Fiduciary Duties & Non-Compete: Riva Plumbing v. F.

This case addresses breaches of fiduciary duties and non-competition agreements by a former director and duties of good faith by employees who planned a competing business. The court found no breach of fiduciary or non-compete obligations due to lack of evidence of competition or misuse of confidential information. Additionally, the court awarded pro-rated bonuses to employees who resigned before the fiscal year-end, determining the bonuses were integral to compensation.

Total Meter Services Inc. v. GVM Integration

Former Employee Liable for Breach of Confidence and Duty

This was an appeal to the Court of Appeal from a trial decision about a former employee's breach of fiduciary duty and confidence. The employee formed a competing business and used the employer's source code and confidential information. The trial judge found the employee liable and awarded $750,000 in disgorgement of profits. The Court of Appeal upheld the liability finding but allowed the appeal in part because one of the claims added by amendment (the "TCS Opportunities claim") was a new cause of action and statute-barred under the Limitations Act. The damages were reduced to $518,659.26.

Arc Compute v. A.A., M.B. et al.

Interlocutory Injunction: Fiduciary Duties & Non-Solicitation

An interlocutory proceeding involving departing employees accused of breaching fiduciary duties and employment contracts by misusing confidential information and soliciting clients. The court is determining whether to grant an injunction based on the test for serious issue to be tried, irreparable harm, and balance of convenience, while assessing the enforceability of non-solicitation clauses and confidentiality obligations.

Coscarella Dentistry Professional Corporation v. H.

Dentist Confidentiality & Solicitation Appeal

An appeal by a dental corporation against a trial judge's decision that a departing associate dentist did not breach confidentiality, fiduciary duties, or engage in improper solicitation of patients. The Court of Appeal reviewed whether the dentist's access to patient records to notify them of the practice relocation constituted a breach of professional obligations or contractual good faith.

Tar Heel Investments Inc. v. H.L. Staebler Company Limited et al

Constructive Dismissal: Unilateral Changes to Salary

This case involves a dispute regarding whether the defendant Arseneau was constructively dismissed due to substantial changes to essential terms of employment, including a guaranteed salary. The court found that constructive dismissal was established. The case also addressed related issues regarding the ownership of a book of business, fiduciary duties, and restrictive covenants, ultimately finding no breach of fiduciary duty or restrictive covenant by the defendants.

W. v. P. et al., P. v. W.

Departing Lawyer Fiduciary Duties & Compensation

This is a civil procedure ruling on summary judgment regarding a dispute between departing lawyers and their former firm. The court addressed issues of professional responsibility, fiduciary duties, and compensation for unbilled work in progress, dismissing the damages claim due to a lack of evidence of harm or improper conduct.

A. v. ICICI Bank of Canada

A wrongful dismissal case involving allegations related to fiduciary duties. The case addresses the legal obligations of the employee and the circumstances of termination.

Strength-N-U Inc. v. S.

An interlocutory injunction application concerning alleged breaches of fiduciary duty and contract law, likely involving an employment or post-employment relationship.

T. v. H.

Employee Confidentiality and Liability Duties

This case addresses the duties and liability of an employee, specifically concerning confidentiality obligations within an employment relationship.

LivingArt Kitchens Inc. v. M.

Interlocutory Injunction: Fiduciary Duties & Restrictive Covenants

This interlocutory motion concerned an application for an injunction against former employees accused of misappropriating confidential information and breaching fiduciary duties. The court applied the RJR-MacDonald test and found no strong prima facie case of a fiduciary relationship or breach, noting that the restrictive covenants were contestable and likely unenforceable under the Employment Standards Act, 2000. Consequently, the balance of convenience favored the defendants, and the plaintiff failed to demonstrate irreparable harm.

Abaxx Technologies Inc. v. Pasig and Hudson Private Limited

Appeal Dismissed on Jurisdiction Over Former Executive

This is an appeal to the Court of Appeal from a motion judge's decision dismissing the action for lack of jurisdiction. The employer plaintiffs sued a former executive and related companies for breach of fiduciary duties, conspiracy, and misappropriation of corporate opportunities. The motion judge found that the plaintiffs failed to establish a real and substantial connection to Ontario, as the defendants were foreign and the relevant business occurred outside the province. The Court of Appeal agreed that the plaintiffs did not demonstrate a good arguable case for jurisdiction in Ontario. The appeal was dismissed.

Northwest Protection Services Ltd. v. W.

This is a contractual dispute involving allegations of breach of contract, fiduciary duty, and breach of confidence against an individual associated with Northwest Protection Services Ltd. The case also raises issues of constructive trust and misrepresentation under the Private Security and Investigative Services Act.

R. v. Ecolab Co.

Former Employee Breach of Confidence & Fiduciary Duty

This interlocutory proceeding addresses whether a former employee breached fiduciary duties and employment contract confidentiality obligations by retaining and attempting to use confidential documents after termination. The court rejected the plaintiff's argument that alleged employer misconduct negated the confidentiality of the documents and granted an injunction requiring the destruction of unlawfully obtained materials to prevent misuse of confidential business information.

Morgan Canada Corporation v. M.

Former Employees: Injunction for Breach of Confidence Dismissed

This interlocutory motion addressed a plaintiff's request for an injunction to prevent former employees from working for a competitor and using confidential information. The court applied the RJR-MacDonald test and found that the plaintiff failed to demonstrate a strong prima facie case for breach of fiduciary duty, breach of confidence, or spoliation of evidence. Consequently, the court dismissed the application for an injunction and a sealing order.

Arvan Rehab Group Inc. v. M. et al.

An employment law dispute involving allegations of breach of fiduciary duty by an employee or former employee of Arvan Rehab Group Inc.