Federal Court Of Appeal Confirms That Signed Releases Do Not Prevent Employees From Pursuing Unjust Dismissal Complaints Under The Canada Labour Code
Monday, March 02, 2020 - Filed in: Courts
On January 24, 2020, the Federal Court of Appeal upheld the decision in Bank of Montreal v. Li (2018 FC 1298). This decision serves as confirmation that federally-regulated employees who sign releases in favour of their former employers will not be barred from bringing complaints for unjust dismissal under the Canada Labour Code ("CLC"), provided that they do so within 90 days of the dismissal.
This is an important decision to read. It may just force parties to await expiration of the 90-day limitation period before making settlement agreements.