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ARTICLE · 31 AUGUST 2012

Release Signed By Employee During A Termination Meeting Found To Be Unenforceable

Stikeman Elliott LLP
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In the recent decision of Rubin v. Home Depot Canada Inc., the Ontario Superior Court of Justice held that a release signed by an employee at the time his employment was terminated was unenforceable, as the employee did not have sufficient time to review the release and seek advice.

CanadaEmployment and HR
Stikeman Elliott LLP
Stikeman Elliott LLP
Mari Maimets
Mari Maimets
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In the recent decision of Rubin v. Home Depot Canada Inc., the Ontario Superior Court of Justice held that a release signed by an employee at the time his employment was terminated was unenforceable, as the employee did not have sufficient time to review the release and seek advice.

Background

Eric Rubin worked as a competitive shopper for Home Depot Inc. (Home Depot) and its predecessor for almost 20 years. He was 63 years old. His employment was terminated by Home Depot during a brief meeting at which he was handed a letter offering him 28 weeks' pay in lieu of notice in exchange for signing a release. This offer included his minimum statutory notice and severance pay entitlements under the Employment Standards Act, 2000, totaling 27.75 weeks, plus an additional one quarter weeks' pay. The offer did provide for benefits continuation during the 8-week statutory notice period; however, it was silent about certain benefits, notably accidental death and dismemberment

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