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ARTICLE · 10 MARCH 2015

Snatching Defeat From The Jaws Of Victory

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An employer had a good case but was punished to the tune of $90,000 in legal costs for using hardball tactics to bully a weak and financially desperate ex-employee.

CanadaEmployment and HR
P.A. Neena Gupta
P.A. Neena Gupta
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An employer had a good case but was punished to the tune of $90,000 in legal costs for using hardball tactics to bully a weak and financially desperate ex-employee. The judge was not impressed.

Tossonian v. Cynphany Diamonds Inc. o/a Symphony Diamonds, 2014 ONSC 7484, costs decision 2015 ONSC 766

On paper, this recent decision appears to be a victory for the employer, Symphony Diamonds, who successfully established that there was no agreement as to a five-year term of employment, despite the existence of a written contract that set out the five-year term. A review of the decision on the merits as well as the subsequent cost award, however, reveals that this is a case where hard-ball litigation tactics ultimately backfired on the employer. It is a salutary lesson for employers on the benefits of reasonable offers and avoiding the escalation of legal battles.

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