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Friday, November 21, 2025

B.C. supreme court decision highlights ‘messy’ just cause dismissal case - Canadian HR Reporter

Decision highlights nuances of just cause and working notice

A recent Supreme Court of British Columbia decision has brought renewed attention to the legal risks surrounding just cause, working notice, and the timing of employment litigation.

The case saw a long-serving employee of a small agricultural trading company landing in legal limbo after launching a wrongful dismissal lawsuit while still on working notice.

The employer, having downsized to just two staff, had offered her 13 months’ notice of termination and even floated the idea of selling her the business for a nominal fee. Instead, the employee’s legal counsel sent demand letters and, before her employment ended, filed a claim for damages.

According to Jenson Leung of KSW Lawyers in Vancouver, the main legal lesson from this case is for employees who jump the gun and sue too early: “In a worst case scenario, it could actually lead to a situation where the employee could be entitled to no damages, if they're seen to have completely reputed the relationship on their own by starting a lawsuit.”

Working notice, legal claims and repudiation

The court’s decision details a series of communications between the parties: after being offered the business for $1 at an informal sit-down meeting, the employee’s lawyer demanded a $200,000 severance payout.

The court ultimately found that while the employee was entitled to damages, her decision to sue before the end of the notice period constituted a repudiation of the...



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