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Good Faith and Fair Dealing in Canadian Employment Law | Dickinson Wright


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Starting in 1997, the Supreme Court of Canada (“SCC”) has rendered a series of decisions that have progressed from the imposition of a duty of good faith and fair dealing on the employer, at the time of an employee’s dismissal, towards a duty of good faith and fair dealing in the overall employment relationship.
In 1997, the SCC decided in the wrongful dismissal case of
Wallace v. United Grain
Growers Ltd., [1997] 3 SCR 701, that, at a minimum, the employer owed a duty of good faith and fair dealing to the employee at the time of dismissal and explained its rationale as follows: ....

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'Why'd Ya Do It?' The Supreme Court Of Canada Explains The Duty To Exercise Contractual Discretion In Good Faith - Corporate/Commercial Law


Wastech:
Confirms that the duty to exercise
discretionary contractual powers in good faith, like the duty of
honest contractual performance, applies to all contracts and cannot
be excluded by the parties;
Clarifies that the duty is breached
where a party exercises a contractual power
unreasonably , meaning in a manner not connected to the
underlying purposes for which the discretion is granted;
Mandates that when ascertaining
whether an exercise of discretion is unreasonable, and therefore a
breach of the duty, the court must interpret the contract (the
first source of justice between the parties ) as a
whole.  The content of the duty is guided by the intentions of ....

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Supreme Court of Canada Clarifies Duty to Exercise Contractual Discretion in Good Faith | Littler


Callow, which expanded a contracting party’s duty of honesty, was released in December 2020; however, the SCC’s decision in
Wastech, which clarifies the duty to exercise contractual discretion in good faith, was not released until early this month.  Although
Wastech involved a commercial contract, it has implications for all contracts in which a party has discretionary power, including any such contracts entered into by employers.
Background
In 1996, Wastech Services Inc., a waste transportation company, entered into a long-term contract for waste disposal with the Greater Vancouver Sewerage and Drainage District (Metro), a corporation that disposed of municipal waste.  The contract provided that waste could be disposed of in three landfills, one of which was much farther away than the others.  Wastech’s profits under the contract were highest when it disposed of waste in the landfill farthest away; the contract provided that Metro had “absolute discre ....

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Contract Law Update: Recent Supreme Court Of Canada Decisions On Contractual Duties Of Good Faith - Corporate/Commercial Law

Contract Law Update: Recent Supreme Court Of Canada Decisions On Contractual Duties Of Good Faith - Corporate/Commercial Law
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British Columbia , Supreme Court , Wastech Services , Cm Callow Inc , Vancouver Sewerage , Drainage District , பிரிட்டிஷ் கொலம்பியா , உச்ச நீதிமன்றம் , செ.மீ. கால் இன்க் , வான்கூவர் கழிவுநீர் , வடிகால் மாவட்டம் ,