Month: May 2015
Less is More – “Loyalty Incentives” Upheld
May 29, 2015
Topics: Blog, Loyalty Incentives, Restrictive Covenants
Canada’s big five banks and the financial planning industry will benefit by paying close attention to the difference between a “loyalty incentive” and a restraint of trade, as canvassed thoroughly by the Ontario Superior Court in Levinsky v. The Toronto-Dominion Bank, 2013 ONSC 5657. Levinsky, a managing director with TD Securities Inc.,…
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Arguing Ambiguities in Restrictive Covenants – The Pendulum Swings Back to Enforceability
May 28, 2015
Topics: Blog, Non-Compete Enforceability, Restrictive Covenants
One of the most-used strategies to argue that a non-compete or non-solicit provision is unenforceable is to point to any possible ambiguity in the wording used. In the leading Canadian decision, the Supreme Court of Canada held in J.G. Collins Insurance Agencies Ltd. v. Elsley Estate, 1978 CanLII 7 (SCC), that in order…
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Economic Disincentives to Compete Found to be Restraints of Trade
May 24, 2015
Topics: Blog, Loyalty Incentives, Non-Compete Enforceability, Restrictive Covenants
The B.C. Court of Appeal’ decision last year in Rhebergen v. Creston Veterinary Clinic, 2014 BCCA 97, is both a win and a loss for employers seeking to restrain employees from competing with them post-employment. In both instances, the decision will have long-reaching effects over employer’s strategies to implement effective restraints and the…
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