Log in or register
Share on LinkedInShare on LinkedIn

ARTICLE · 26 AUGUST 2025

Manitoba Court Upholds Early Termination Clause In Term Contract

MLT Aikins LLP
MLT Aikins LLP
Contributor
MLT Aikins LLP

MLT Aikins LLP

FIRM OVERVIEW MLT Aikins is a full-service business law firm of more than 375 lawyers with a deep...

View firm profile
Explore more from MLT Aikins LLP

The Manitoba Court of King's Bench upheld a "without cause" termination clause in the recent case of Hebert v Colin's Mechanical Service Ltd., 2025 MBKB 87...

CanadaEmployment and HR
Shandra Czarnecki
Shandra Czarnecki
Devin Wehrle
Devin Wehrle
Nicolas Nudler
Nicolas Nudler
Author LinkedIn connections

The Manitoba Court of King's Bench upheld a "without cause" termination clause in the recent case of Hebert v Colin's Mechanical Service Ltd., 2025 MBKB 87, which considered a without cause termination prior to the expiry of a term contract. This is a welcome decision for employers.

Background

This case involved a dispute between Mr. Hebert and Colin's Mechanical Service Ltd. ("Colin Mechanical") following Mr. Hebert's sale of his business, Lineside Electric Ltd. ("Lineside"), to Colin Mechanical. As part of the sale, Mr. Hebert entered into a four-year fixed term employment agreement with Colin Mechanical.

The contract included several termination provisions, including a clause allowing Colin Mechanical to terminate the agreement without cause at any time, "subject to notice or payment in lieu of notice... in accordance with The Employment Standards Code of Manitoba" (the "Code").

We operate a free-to-view policy, asking only that you register in order to read all of our content. Please login or register to view the rest of this article.

Register for freeORLog in

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

View source

Related Articles

Legal Intelligence Newsletters: sign up for the latest legal and regulatory news on your chosen topics

Read more about

Related Comparative Guides

See more popular content from

Article

WorkSafeBC Proposes Changes To Laws Regarding Workplace Harassment And Violence

WorkSafeBC is proposing significant amendments to British Columbia's Occupational Health and Safety Regulation that would fundamentally reshape how employers address workplace harassment, violence, and psychological health. The proposed changes introduce expanded definitions, new prevention program requirements, and obligations to identify and control psychosocial hazards. These amendments could require most B.C. employers to substantially revise their existing workplace policies and procedures.
CanadaEmployment and HR
Cassels
Cassels
Article

Bill C-39: Big Changes Are Coming To Federal Workplace Rules

The federal government has tabled Bill C-39, introducing sweeping reforms to the Canada Labour Code that will fundamentally reshape union negotiations, dispute resolution, and workplace enforcement for federally regulated employers. These changes, stemming from extensive public consultations with over 26,000 responses, grant new ministerial powers while expanding government enforcement capacity by 70% through the hiring of 100 additional health and safety officers.
CanadaEmployment and HR
Torkin Manes LLP
Torkin Manes LLP
Article

Implications Of Bill C-34, Canada’s Proposed Online Safety Framework, For Organizations

Canada's proposed Digital Safety Act introduces sweeping new obligations for social media platforms, AI chatbots, and interactive online services, requiring operators to protect children, mitigate harmful content, and implement age-verification measures. Organizations face substantial penalties of up to 5% of global revenue for non-compliance, backed by a new federal regulator with broad enforcement powers. What steps should your organization take now to prepare for this emerging regulatory framework?
CanadaPrivacy
MLT Aikins LLP
MLT Aikins LLP
Article

Amendments Streamline Project List Under Impact Assessment Act

The Government of Canada has amended regulations under the Impact Assessment Act to streamline environmental reviews for major infrastructure projects, particularly interprovincial pipelines. These changes shift regulatory responsibility for certain energy projects to the Canada Energy Regulator while removing other project types from federal review following the Supreme Court's 2024 constitutional ruling.
CanadaEnvironment
MLT Aikins LLP
MLT Aikins LLP
Article

President Trump Announces U.S. Counter-tariffs On Canada: Are They Lawful?

President Trump has invoked Section 338 of the Tariff Act of 1930 to impose new counter-tariffs on Canadian goods including dairy, alcohol, motorcycles, and metal products. The legality of this rarely-used statutory provision remains untested in court, raising questions about presidential tariff authority under the U.S. Constitution. Legal scholars debate whether Section 338 has been superseded by later trade legislation, while the administration argues Canada's retaliatory measures constitute discriminator
GlobalInternational Law
MLT Aikins LLP
MLT Aikins LLP
Article

Permit Me To Explain: Bill C-39’s Plan To Build Canada Faster

The Canadian government has introduced Bill C-39, the Building Canada Strong Act, proposing to compress federal project approval timelines from five years to one year through consolidated permitting and streamlined processes. The legislation also modernizes transportation infrastructure through National Trade Corridors and reforms labour relations by strengthening collective bargaining while clarifying ministerial powers to intervene in work stoppages.
CanadaGovernment, Public Sector
MLT Aikins LLP
MLT Aikins LLP