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Why courts will say no to unfair termination contracts
What happens if a just-dismissed employee is misled into signing a release that prevents him from taking further legal action? Will it matter if the employer took advantage of that employee's vulnerability by steering him towards signing the document without pointing out that he had other choices? According to a recent Ontario case, employers have a duty to treat their employees fairly at the time of termination. Otherwise, even a signed document can be set aside.
Sixty-three-year-old Eric Rubin had worked for Home Depot Canada Inc. for nearly 20 years when he was called to what he thought was a normal business meeting. However, a few minutes later, he was suddenly fired in what Home Depot described as a restructuring. Mr. Rubin was told it was his last day at the company and given a letter confirming his dismissal and encouraging him to sign a release.
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