Topic: Breach of Fiduciary Duty
Alberta Court Finds Irreparable Harm in Trade Secret Case – Did it also Apply Doctrine of Inevitable Disclosure?
May 28, 2024
Topics: Blog, Breach of Fiduciary Duty, Confidential Documents, Injunctions, Trade Secrets
SHAC Solutions Inc. v. Guenther, 2024 ABKB 145 Employers seeking interlocutory injunctions to prevent competition or solicitation by former employees often fail to meet the irreparable harm branch of the test for relief, with courts finding that damages can be readily quantified. In a recent decision, however, the Alberta Court…
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Remedial Flexibility Rescues Claim for Breach of Confidence
November 21, 2023
Topics: Blog, Breach of Fiduciary Duty, Confidential Documents, Damages, Disgorgement of Profits
Skycope Technologies Inc. v. Jia, 2023 BCSC 1288 The law provides for a broad range of remedies to address breach of confidence. In a recent decision where the plaintiff had not established any financial loss, the B.C. Supreme Court opted for disgorgement of a large sale by the defendants as…
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Privacy Rights, Damage Assessments and the Importance of Pleadings
May 30, 2023
Topics: Blog, Breach of Fiduciary Duty, Confidential Documents, Damages, Disgorgement of Profits, Non-Compete Enforceability, Non-Solicit Enforceability, Restrictive Covenants, Sale of a Business
Several recent decisions are of interest to those advising on, and litigating, employee competition cases. First, the Alberta privacy commissioner finds that employers, in some circumstances, may disclose their former employees’ restrictive covenants to third parties. Two Alberta Courts provide analysis on assessing damages in successful actions for unlawful competition.…
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Courts Differ on Standard to Establish Fiduciary Status in Applications to Restrain Solicitation of Clients
April 9, 2020
Topics: Blog, Breach of Fiduciary Duty, Insurance Brokers
Capital Direct Lending Corp. v. Blanchette, 2019 BCSC 1068; Brian L. Leipert Financial Services Ltd. v. Reiter, 2019 SKQB 310 Courts in BC and Saskatchewan come to opposite conclusions on whether the strong prima facie case threshold is applicable to establishing breach of fiduciary duty in claims for injunctive relief to prevent solicitation…
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Court Rejects Plea for Disgorgement of Profits, Despite Finding Departing Physicians Breached Fiduciary Duty and Duty of Confidence
April 28, 2019
Topics: Blog, Breach of Fiduciary Duty, Confidential Documents, Disgorgement of Profits, Physicians
Genesis Fertility Centre Inc. v. Yuzpe, 2019 BCSC 233 A decision of the British Columbia Supreme Court rejects a claim for disgorgement of profits, even though the Defendants committed breaches of fiduciary duty and confidence. The decision is a reminder that, in employee competition cases, the courts will be mindful…
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Former Telus Executive Escapes Non-Compete due to “Overzealous Drafting”, but Rebuked for Pursuing Termination Payment while Negotiating New Employment with Competitor
January 26, 2019
Topics: Blog, Breach of Fiduciary Duty, Non-Compete Enforceability, Restrictive Covenants
Telus Communications Inc. v. Golberg, 2018 BCSC 1825 A battle between corporate titans Telus Communications and Rogers Media highlights the danger of “overzealous drafting” of restrictive covenants, which enabled a former Telus executive to compete against his former employer. At the same time, the Supreme Court of British Columbia rebukes…
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Valuable Employee? Yes. Fiduciary Employee? Not So Much.
June 19, 2018
Topics: Blog, Breach of Fiduciary Duty
Jetco Heavy Duty Lighting v. Fonteyne, 2018 ABQB 345 The Alberta Court of Queen’s Bench cautions against conflating a valuable employee with a fiduciary employee, given the onerous obligations placed on fiduciaries. The decision underscores the importance of securing a reasonable restrictive covenant if an employer wishes to protect its…
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