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Sunday, November 23, 2025

A Deal Is A Deal: Ontario Court Enforces Settlement Agreement Despite Employee's Change Of Heart - Mondaq

In Johnstone v. Loblaw, 2025 ONSC 4755, the Ontario Superior Court heard an application for summary judgment by Loblaws Companies Limited (Loblaws) against their former employee...

In Johnstone v. Loblaw, 2025 ONSC 4755, the Ontario Superior Court heard an application for summary judgment by Loblaws Companies Limited (Loblaws) against their former employee, Mr. Johnstone. Loblaws asked the court to enforce a settlement that it said had been reached via emails between counsel, despite the fact that the parties were ultimately unable to agree on a form of settlement agreement.

Background

Mr. Johnstone worked at Loblaws for just over seven years when his employment was terminated without cause in 2022. Prior to his termination, Mr. Johnstone had recently relocated from Winnipeg to Ottawa and was in the process of closing an agreement to purchase a new home in Ottawa.

Following his termination, settlement discussions between Mr. Johnstone and Loblaws began. These negotiations focused on the notice period, legal fees, a reference letter and letter for mortgage qualification purposes. After several exchanges, Mr. Johnstone's counsel confirmed via email acceptance of the settlement, "subject to mutual agreement on the supporting documentation."1

Loblaws promptly drafted and shared minutes of settlement reflecting the parties' discussions on salary continuance, legal fees, letters confirming employment and the provision of a release. The minutes also included standard clauses...



Read Full Story: https://news.google.com/rss/articles/CBMi9wFBVV95cUxNY1R2bnRVOWUwZWJmWF9kalR6...