Employment & Labour

Bad faith in the course of dismissal

By Stuart Rudner and Anique Dublin

Generally speaking, an employee whose employment has been terminated is not entitled to additional damages for disappointment, embarrassment, or other psychological effects flowing from the loss of employment.

However, if the employee can prove bad faith conduct by the employer in the manner of the dismissal, then the employee may be entitled to bad faith/moral damages, or as Stuart dubbed them in various articles and his text on just cause for dismissal, “The Damages Formerly Known as Wallace.”

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