An Ontario Superior Court judge has awarded terminated Software Executive 6 months’ pay, after only 10 months of service at U.S.-based software company.
According to Justice Charles Hackland’s decision, the 51-year-old Software Executive left a secure position with a prior employer to take the Executive Sales role at the defendant employer, only to be fired 10 months later.
The Executive and employer agreed that a termination clause in the employment agreement was not enforceable in Ontario, leaving the judge to set a reasonable notice period (i.e., number of months of severance he was owed). Although the Judge found that the executive was not actively looking to leave his old employer, the Judge declined to find that he had been legally “induced” to leave.
“Rather, he was advised of an opportunity by a GoSecure senior manager, a person he knew professionally and he chose to follow up this opportunity,” the judge explained.
The Executive sought 12 months of severance, while the employer argued for 2 – 4 months.
The judge awarded 6 months of severance, noting that the Executive’s general rather than specialized sales skills and experience put him in a “strong position” to market himself to new employers. Still, the Judge added that the Executive had given up 4.5 years of service with his prior employer to join the new employer.
“His career progression was interrupted but not significantly prejudiced by his termination,” the judge added, noting that the Executive successfully secured a similar role 11 months after his firing.
The $163,000 damages award included 6 months of base salary, commission and benefits.
