In a wrongful dismissal action under Rule 76, the plaintiff sought additional damages after termination without cause and challenged whether a binding settlement had been reached on termination entitlements.
Applying the objective observer test to the parties’ email exchanges and post-termination conduct, the court found the parties negotiated and finalized a settlement package including notice pay, commissions, extended benefits, and temporary office use.
The court held the employee’s acknowledgment that all terms were agreed, together with acceptance of the negotiated package, confirmed a complete settlement.
Because the settlement had already been performed by the defendants, no further wrongful dismissal damages were recoverable and the action was dismissed, with the defendants entitled to partial indemnity costs.