Oppression Remedy, Wrongful Dismissal, Corporate Reorganisations

In Wisser v. CEM International Management Consultants Ltd. 2022 ABQB 414, Alberta Court of Queen's Bench (as it then was) confirmed the oppression remedy can ground liability for non-employer corporations and their directors, where the corporate restructuring's purpose is to avoid wrongful dismissal liability.

Background

The Alberta Court of Queen's Bench issued a decision in June 2022 considering duration of employment and oppression within the context of a wrongful dismissal action. The plaintiff had a lengthy history with the employer, CEM International Management Consultants Ltd (CEM): he briefly worked with CEM in 2005, was rehired in 2007 and then became an independent contractor in 2009. In 2011, the plaintiff became an employee again and worked for CEM for five years before his employment was terminated without cause. The plaintiff's termination was a result of an economic shift, which ultimately resulted in the company changing its name and then selling