BCSC Says that CERB is Deductible from Wrongful Dismissal Damages ;

In Reotech Construction Ltd. v. Snider, BCSC 317, Justice Fleming , sitting on appeal from a decision of the Provincial Court, found that the trial judge erred when the Court failed to deduct the $9,000 CERB payment received by the Plaintiff from the damage award.

The Court referred to the following factors in making this decision:

1. CERB was not private insurance nor did the Plaintiff contribute ( unlike EI where the employee pays part of the premium).

2.There was no obligation under the CERB legislation whereby the Plaintiff would be required to repay CERB ( again unlike EI)

3. As such, the application of the collateral benefit rule did not apply.

4. CERB was designed to be a indemnification against wage loss and to not deduct it from the award would put the Plaintiff a better position than had the contract not been breached by failing to pay reasonable notice.

If you wish a copy of this decision, email me at barry@barryfisher.ca