Employer Allowed to Plead its Termination Offer When Plaintiff Pleads Bad Faith Damages:

In Posehn v. CIBC, 2018 ONSC 1458, Master Jolley was dealing with an objection by the Plaintiff that the Defendant had pleaded in its defence the terms of a settlement offer which the Defendant made at the time of termination.

Master Jolley noted that in a simple notice case it would be both irrelevant and improper to plead such an offer. However in this case, the Plaintiff has pleaded bad faith, aggravated and punitive damages because at the time of his termination they only included his base salary and not his variable income in their termination payment.

Therefore the pleading of the Defendants’ offer was relevant to the accusation of bad faith and bad behaviour at the time of termination. Presumably this was plead to show the Judge that the Defendant were not a bunch of meanies.

The pleading was not struck.

If you would like a copy of this case, email me at barry@barryfisher.ca.