"Clearly Separate": Workplace Sexual Misconduct Not Captured By Employment Release

In the recent decision of Watson v. The Governing Council of the Salvation Army of Canada, 2018 ONSC 1066, the Ontario Superior Court of Justice held an employee's claim for sexual harassment against another employee for conduct at the workplace fell outside the employment relationship. As a result, the alleged conduct was not captured by a release with the employer addressing all claims related or connected to employment. This decision highlights the nature of claims of sexual misconduct and the importance of using specific language in any release used to address the termination of an employee.

The plaintiff, Emma Watson, was employed by The Governing Council of The Salvation Army of Canada ("Salvation Army"), as the manager of one of its thrift stores. David Court was also employed by the Salvation Army. Ms. Watson alleged that Mr. Court sexual harassed her during her employment and that both the Salvation Army and Mr. Court were liable for his conduct.