On August 2, 2018, the Supreme Court of Canada refused the plaintiff’s leave application in Krishnamoorthy v Olympus Canada Inc, 2017 ONCA 873. As such, the Ontario Court of Appeal’s ruling still stands. The ONCA held that a purchaser of assets of a business is free to offer employment on new terms to employees of the vendor and can rely on the resulting written employment agreement as binding – the employment offer constitutes sufficient consideration for the employee agreeing to the new terms. See here for more information about the case.
Nonetheless employers who seek to add or revise a termination clause should involve legal counsel in drafting the clause since such provisions must still comply with local employment standards legislation to be enforceable.