Inducing an employee to leave secure employment can be costly
for an employer when it comes to a termination of employment
without cause. Inducement is an argument that is often advanced by
employees, but not always successfully. Miller v AlayaCare
Inc., 2025 ONSC 1028 ("Miller") serves to
clarify what constitutes inducement in the circumstances. Earlier
this year, the Ontario Superior Court of Justice released
Miller, a wrongful dismissal claim, which examined the
factors of inducement and the enforceability of termination clause
language.
In Miller, Ms. Miller was a senior executive employee
induced by her employer, AlayaCare Inc., from her previous
employment where she worked for 12 years. Her compensation package
included an increased salary compared to her salary from her
previous employer, bonuses, and equity in the form of restricted
share units (RSUs) that vested over time. As a result of accepting
the offer with AlayaCare, she forfeited unvested equity in
