09/21/2026
A recent Ontario Court of Appeal decision brings welcome clarity for employers on termination clauses.
Baker v. Van Dolder's Home Team Inc., 2026 ONCA 568, confirms that common wording like "at any time" does not, by itself, make a termination clause unenforceable. Courts look at the full agreement, not one phrase.
For Ontario employers, this is a timely reminder to review employment contracts and confirm that they clearly protect employee entitlements under the law, as well as the employer's own interests. A strong contract is one that has been reviewed with confidence, not one that has simply gone untested.
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Sources: Court of Appeal for Ontario | Government of Ontario, Employment Standards Act, 2000