Beryl Wall, a computer operator at the University of Waterloo, alleged that her supervisor, Gary Embro, sexually harassed her through unwanted touching and kissing.
The University investigated and implemented an agreement separating the two, but Wall ultimately resigned, claiming the response was inadequate.
The Board of Inquiry found that Embro's conduct constituted sexual harassment.
Applying the organic theory of corporate responsibility, the Board held the University jointly and severally liable because Embro, as a supervisor, formed part of the University's directing mind.
However, the Board found the University's response to the complaint was reasonable and therefore dismissed Wall's claim for lost wages.
Wall was awarded $3,500 for mental anguish and infringement of rights, plus interest.