The employer appealed a Small Claims Court judgment awarding the employee $25,000 for wrongful dismissal.
The employee was terminated for cause following a workplace altercation over a bagel, for which she had already been suspended.
The Divisional Court held that the trial judge erred in failing to consider the enforceability of the employment contract's termination clause, but found the clause void for potentially violating the severance provisions of the Employment Standards Act, 2000.
The court also upheld the trial judge's finding that the employer lacked just cause for termination and that dismissing the employee after she had already served a suspension for the same incident constituted double jeopardy.
The appeal was dismissed.