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ARTICLE · 08 JANUARY 2021

A Million Dollar Bonus After Constructive Dismissal - Case Study: Matthews V Ocean Nutrition Canada Ltd

McCague Borlack LLP
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The Supreme Court of Canada ("the Court") overturned the decision made by the Nova Scotia Court of Appeal, resulting in an award of one million dollars being afforded to Mr. Matthews...

CanadaEmployment and HR
Howard Borlack
Howard Borlack
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The Supreme Court of Canada (“the Court”) overturned the decision made by the Nova Scotia Court of Appeal, resulting in an award of one million dollars being afforded to Mr. Matthews, a skilled chemist who was constructively dismissed by his employer, Ocean Nutrition Canada Ltd. (“Ocean”) without reasonable notice.

The trial judge described the four-year period leading up to Mr. Matthews' constructive dismissal as a “campaign to marginalize Mr. Matthews in the company.” This campaign was headed by the hiring of a new Chief Operating Officer. Mr. Matthews was lied to, had his responsibilities arbitrarily reduced, and was excluded from aspects of the business he would not ordinarily be excluded from.

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