Ross Dunsmore

The plaintiff, an Executive Director of a long-term care facility, was terminated for cause after 21 years of service following an investigation into an undisclosed romantic relationship with a subordinate manager.

The court found the employer failed to prove just cause, noting the relationship was condoned and the investigation was flawed and conducted in bad faith.

The plaintiff was awarded 22 months' notice, plus benefits and bonuses, less disability payments and mitigation income.

The court also awarded $50,000 in moral damages for the employer's bad faith conduct during the dismissal and litigation.

The applicant union sought judicial review of an arbitrator's decision finding that the union violated the collective agreement by threatening a full-time firefighter with union charges if he accepted a volunteer position with the respondent town.

The arbitrator held that the union president's actions interfered with the town's right to use volunteer firefighters and that the union could not rely on its constitution to derogate from its obligations under the collective agreement.

The Divisional Court dismissed the application, finding the arbitrator's decision reasonable.