The appellant employer appealed a trial judgment that denied its claim for damages for breach of contract and allowed the respondent employee's counterclaim for unpaid commission.
The employee had been terminated for cause after the employer discovered he was performing work for another business on company time and taking steps to start a competing business.
The Divisional Court allowed the appeal in part, finding the trial judge made a palpable and overriding error by failing to order the disgorgement of the $5,152.15 the employee earned from the undisclosed work.
The award for unpaid commission was upheld, and the trial costs award against the employer was set aside due to the employee's egregious conduct.