Be Prepared – A Motto Not Just for Girl Guides Anymore

If you work in the Greater Toronto area, then as I type this blog entry (Friday, G8/G20 day) you have likely realized this week that you needed to change how you work due to the summit meetings being held in our area.

Many have had to figure out how to work from home – and as of today, many are wondering if their home internet service provider will have enough band width to withstand everyone from Toronto working from home all at once.

Others have discovered the interesting back routes of Toronto in order to avoid closures due to motorcades and fences.

On Wednesday many of us also realized that we need to consider earthquake preparedness. Having grown up on the West Coast of Canada as soon as our office building started to sway, I reverted to the behaviour drilled into us in elementary school: I looked for overhead door jams to stand under. It was only at that time did I realize, there are no structural support door jams in our office – clearly, we need to address our earthquake preparedness.

Taking the lessons from this week a step further, all businesses, regardless of size, must be prepared in the event they are hit with a law suit. In particular, in this day of email and instant messaging, all businesses must have a Document Retention Policy, including an Electronic Document Retention Policy.

The document retention policy needs to set out the procedures for creation, storage, destruction and production of documents, including electronic documents. This involves addressing backup and storage needs, which thankfully due to advances in IT have come down significantly in cost and ease of accessibility for small businesses.

In addition to being law suit ready, a document retention policy ensures that you are complying with certain Government required retention periods, for e.g. Canada Business Corporations Act requires corporations to hold onto accounting records, meeting minutes and director’s resolutions for 6 years after the end of the financial year to which they relate and the Ontario Employment Standards Act requires businesses to hold onto employee name, address and dates of employment for 3 years after the employment ceases.

Failure to comply with legislated retention periods can lead to fines and the suggestion that businesses are hiding information in a law suit.

Be prepared – it’s not just for G8/G20 weekend – its for your entire business and this week is a good reminder of why you need to be prepared.

Inga B. Andriessen, Sr. Lawyer

What do you do? We're Business Lawyers.

Lately I’ve found that I don’t like the way I have traditionally answered the question: “What do you do?”    My answer for the past 17 years has generally been “I”m a corporate/commercial trial lawyer”.  

This response has generally lead to blank stares and for those brave enough, the follow up question “what is that?”

It has only taken me 17 years (I”m such a quick learner) to realize the simpler way to describe what I do is to say “I’m a trial lawyer who only handles business law.”  O.K. …. so that is wordier and therefore, likely a work in progress, but it is a start down the correct path.

Corporate/Commercial Law is a technical definition.  It is a Law School definition and one that we boring lawyer types understand – but it does not embrace the energy of what we really do: we’re business lawyers.

As a trial lawyer, I pursue and defend the rights of businesses in any situation they find themselves.  Paul Voorn & Ann Hatsios are also Business Trial Lawyers (look, I shortened it already … I’m becoming a quicker study!)

As a business transaction lawyer, Scott Young of our firm advises businesses on all aspects of their work – from start up to wind up and the fun parts in between, including the particularly active Trade Mark aspects of business.

In my legal writing I’ve always believed simple is better – and stating we’re Business Lawyers just makes sense …. now to look into Trademarking that …. Scott?

Inga B. Andriessen, Sr. Lawyer (Business Trial Lawyer to be specific)

A little over a month to go until the HST

It’s not as if this topic is something we’re looking forward to, but it will be a reality for Ontario at the end of next month – the HST is coming and it will make a change to the bottom line on your legal fees.

Currently only GST is charged on legal fees.  Certain disbursements, such as government fees, do not contain any tax at all and those disbursements will not be changing.

However, July 1, 2010 all legal fees will be subject to the HST effectively increasing your bill by 8%.

As businesses, we are all able to have the HST flow through, much as the GST has in the past and the expectation is that we will not notice the effect of the HST due to this.

 However, if your business is contemplating a transaction such as a shareholder agreement, contract or asset transfer, you may wish to consider incurring the bulk of the legal fees before June 30, 2010 in order to reduce the fees which may not be offset by purchases.

 Isn’t  this a happy thought, right before a holiday long weekend?  I suppose that is why Ontario calls it the May 2-4 weekend, you might need a 2-4 to feel better about the HST.

Inga B. Andriessen, Senior Lawyer

Workplace Violence

On June 15, 2010, the Bill 168 amendments to the Occupational Health and Safety Act come into force.  The amendments require virtually all Ontario employers to conduct a violence risk assessment and to implement policies to address workplace harassment and violence.  This is something that all employers need to be aware of.

 

The requirements are interesting and somewhat unique.  For example, the amended Act requires that employers report the results of the workplace violence risk assessment to the employees, or a safety committee comprised of employees.

 

The amended Act further requires that the employer develop policies to deal with workplace violence that:

 

  1. control and minimize the risk of violence in the workplace;
  2. provide that immediate assistance is summoned in the event of violence in the workplace;
  3. ensure that incidents of violence are reported to the employer in a timely manner; and
  4. ensure that incidents are investigated

 

And of course, once the policies are developed, they must be implemented – the Act requires that as well.

 

If you have any questions about your obligations under the Act, about how to conduct a risk assessment or how to draft a workplace violence policy in compliance with the Act, please contact us.

 

Scott R. Young

It's Administrative Professional's Day & we have a lot to celebrate !

Today is Administrative Professional’s Day. In our firm this is a big deal because it’s our chance as lawyers to celebrate our fantastic support staff who make our jobs easier and create the enjoyable work environment in our firm.

These are not just words we throw around once a year in the hope that our dictation is transcribed the way we intended and our mail is opened in one piece: we are fortunate enough to have an amazing group of support staff who ensure that we are able to give the best legal services possible to our clients.

Christine, Christol & Kelly are three incredible women who take their responsibilities seriously and are able to be light hearted while carrying them out – the three of you are fantastic & you know we appreciate all of you !!!

I believe that part of the reason our firm works well together is that we treat people fairly. We ensure that our expectations for all staff are set out in our Firm Handbook – a document everyone receives when they start working here. The Handbook includes certain mandatory documents regarding Discrimination, Harassment and Occupational Health and Safety – more importantly, it tells people what we expect of them and gives them a bit of insight into the culture of our firm.

We review the work performance of all staff, in writing every 6 months and follow this up with a verbal review at the same time – this is a good chance to ensure that if there are any performance issues, they are addressed before they become serious problems. This is also a chance for the employees to let me know what is going on with them in the firm – feedback is key.

Aside from the formalities I have just described, our firm has an annual Summer Fun day – a chance for everyone to compete to get their name on the plaque in our reception area and believe me, everyone fights to get their name on the plaque as well as our annual charity day in December. We also have informal lunches approximately every month or so to give people a chance to get to know a bit more about their co-workers and raise office issues that apply to everyone.

 If your company doesn’t have a work environment that is a positive one, you might benefit from taking a page or two from our book. Feel free to contact our firm to discuss your legal obligations as well as how to apply them in a manner that helps your company come together to work as a team – you can have an enjoyable work environment and yes, your lawyers can help with that.

If you’re reading this blog after April 21, 2010 don’t feel the need to wait until next year to let your support staff know you appreciate them, lunches and cards are not required – a simple, sincere thank-you for the work they do is at the heart of any good work environment.

Inga B. Andriessen,  Sr. lawyer

The Expectation of Privacy in the Workplace

We are often asked to act for clients who have issues that stem from a conflict of privacy expectations in the workplace.  The expectation never seems to come to a head until there is point issue such as a termination or a workplace incident.  At that point we’re asked to go back and determine whose expectation was more reasonable.

              

The analysis is never easy.  Workers have a right to privacy, but that right is not unlimited.  Employers have a right to monitor the workplace, but that right, too, is not limited.

 

We need to look at a host of factors that will help determine where the appropriate expectation should fall.  The nature of the work done is important – in a law firm, the information dealt with is incredibly sensitive and employees might reasonably expect that there management of that information might be monitored;  in a distribution facility, the goods handled by employees are the only source of revenues and employees might reasonably expect that their interaction with those goods will be monitored.

 

We also look at the various ways that privacy is challenged.  Are employees monitored by surreptitious means, or in accordance with a clear company policy?  Is information collected that serves no purpose?  Is the challenge to privacy as non-invasive as possible?

 

Ultimately, both parties are best served by a clearly thought out policy that considers that collection use and storage of all potentially private information, and the communication of that policy to all employees who might be subject to it.

 

We have experience in both helping employers to draw that line before it becomes an issue, and in dealing with the consequences of breaches of the expectation.  If you are an employer and you are concerned about a workplace privacy issue, please contact us before you make your next step.

 

Scott R. Young

Changes to a Contract

This week NBC announced that its failed experiment with late night television in prime time was coming to end – sending Jay Leno back to 11:35 p.m. and bumping Conan O’Brien back after midnight.

 

I’m not privy to the details of either Leno’s or O’Brien’s contracts, but generally speaking, this sort of unilateral modification of the terms of employment give rise to one or two legal problems…

 

The principal is simple – one party cannot unilaterally change the terms of what two parties bargained for.  In the case of employment law, an employer cannot fundamentally alter the terms of the employment contract (whether it is written or unwritten) without the consent of the employee.

         

Demotions, decreasing salary, changing titles to something less prestigious, sticking you in the early morning time slot, anything that could be viewed as degrading or embarrassing in terms of working conditions or lowers your actual income, can all be considered such alterations.

 

And once altered, the aggrieved party, the employee, may successfully argue that the terms of the contract of employment have been frustrated and they have been constructively dismissed.  If you are an employer, be very careful about making these sorts of changes.  Speak with your lawyer about the effect and the possibility that your actions are giving rise to significant damages.

 

It’s simple – contracts, whether they are between employers and employees or between billion dollar corporations and million dollar TV personalities, are bargains – promises to do something in the future in exchange for something else.  They are bargains made between two parties.  Any changes to those bargains must also be made between the two parties.

 

If you are an employer looking to make any changes to the terms of employment of your workforce, call us first.  If you are NBC, we don’t envy you the payout that this is going to cost you.

 

Scott R. Young

Season’s Greetings

It is the time of year when we prepare to celebrate various religious, cultural and seasonal holidays and festivals.  As business lawyers, we are increasingly called on to advise clients as to the best way to enjoy these celebrations with a minimum of offence and a maximum of fun.  Well, okay, no one ever asks us how to make anything more fun, but if they ever did, we would sure have some great ideas …

                               

Most of the trouble at this time of year comes from office parties, alcohol consumption and the celebration of specific religious holidays.  Inga’s blog from a few weeks ago covered a lot of the issues surrounding drinking and office parties.  In terms of the subject of the celebrations, common sense rules the day.

 

Each province has its own human rights legislation and each one of them speaks to discrimination in the workplace.  Celebrations that favour any particular religious tradition are discriminatory and are to be avoided.  Case law is littered with examples of employees seeking restitution for offenses committed by thoughtless employers.

 

Celebrations should be all-encompassing and non-specific.  While it is true that the greater religious significance that a ritual has, the more likely it is to be offensive to those adherents of other belief systems, even seemingly innocuous celebrations can create an uncomfortable atmosphere in the workplace.  Nativity scenes and menorahs are obvious stay-away items, but even the humble poinsettia has been the subject of at least one wrongful dismissal claim.

 

Remember that perception is more important than intention.  Even the noblest intention of sharing one particular celebration with others may cause discomfort and exclusion.  Before engaging in any holiday celebration, it is important to consider the range of perceptions that any activity or undertaking is going to bring about.  Think about it once and then think about it again – and if you’re still in doubt, call us.  We can probably suggest a sensible way to celebrate the joy of the season without stepping on anyone’s toes.  And if you want some ideas for how to make things more fun, we’ve got that covered too.

— Scott Young

Now in the spirit of the season, we offer our own wishes for a joyous season to you.

 

 

 

SEASON’S GREETINGS

 

This seasonal greeting is hereby submitted on the 11th day of December, 2009 (CE) and shall be open for acceptance until 5:00 p.m. Eastern Standard Time on the 24th day of December 2009 (CE).

 

B E T W E E N:

 

ANDRIESSEN & ASSOCIATES, a professional corporation comprised of Barristers and Solicitors, incorporated pursuant to the laws of the Province of Ontario (hereinafter the “Greetors”)

 

and

 

YOU, an individual ordinarily resident in the Province of Ontario and not a non-resident, as that term is defined in the Income Tax Act (Canada) (hereinafter the “Greetee”)

 

WHEREAS pursuant to the belief systems underlying various theistic ideologies, non-theistic ideologies, cultural, astronomical and agricultural observances, many different festivals and events of significance are observed in and around the current period;

 

AND WHEREAS despite popular conceptions to the contrary, those practicing in the legal profession in general, and the Greetors in particular, are, in concert with the various groups engaging in the aforesaid rituals and celebrations, desirous of extending sentiments laden with joy and cheer (hereinafter the “Greeting”) to other humans in general and to the Greetee in particular;

 

NOW THEREFORE in consideration of the covenants and agreements herein and one dollar ($1.00) now paid by each party to each of the other (the receipt and sufficiency whereof are hereby acknowledged) the parties as follows:

 

1          GENERAL PROVISIONS

 

1.1        Deity Non-Specific.  Any reference by the Greetor to any monotheistic, duotheistic, multitheistic deity or to the existence of a deity at all, or the absence of any deity shall be interpreted so as to give effect to the appropriate theistic or non-theistic belief system as preferred by the Greetee.

 

1.2        No Warranty.  The Greetor offers no express or implied warranty as to the soundness or merchantability of the Greeting.  In the event that the Greeting is constructed by a court of competent authority to include a warranty, under no circumstances shall such warranty survive the expression of the Greeting.

 

1.3        Governing Law.  This Greeting will be governed by and construed in accordance with the laws of the Province of Ontario and the laws of Canada applicable therein. Each party attorns to the jurisdiction of the courts of the Province of Ontario in the event that the Greeting requires adjudication.

 

2          GREETING

 

2.1        The Greetor shall and does hereby extend to the Greetee wishes for the happy (as that term is generally defined) and safe (including, but not limited to the exclusion of all legal, physical or moral perils, as allowed by applicable law) enjoyment of the upcoming, ongoing, or recently passed holiday (or holiday season as the case may be).

 

2.2        The Greetor shall and does further hereby extend to the Greetee wishes that during the aforesaid holiday (or holiday season as the case may be), they be surrounded by those family and friends for whom the Greetee has an affinity or predilection and with whom the Greetee would be and is desirous of being surrounded by.

 

2.3        The Greetor shall and does further hereby extend to the Greetee wishes for a happy (as that term is generally defined) New Year, unless and except in the case where the Greetee is not in observance of, or bound by, the Gregorian civil calendar.

 

2.4        The aforesaid section 2.3 shall not be interpreted as any endorsement for the supremacy of the Gregorian calendar, Pope Gregory XIII or the Roman Catholic Church, nor shall it be construed as any challenge to the supremacy of the Gregorian calendar, Pope Gregory XIII or the Roman Catholic Church.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this agreement as of the day and year first above written.

 

ANDRIESSEN & ASSOCIATES, Professional Corporation

 

Per:______________________________________

I have authority to bind the corporation

 

 

I hereby accept this Greeting and agree to abide by the terms contained herein on this __ day of December, 2009.

 

 YOU

 _________________________________________       

Tis the season to be smart

As the holiday season is quickly approaching the issue of the Employer’s liability for accidents that can be traced back, even remotely to drinking at a holiday party hosted by the Employer or simply having a beer or two, or spiked Egg Nog is something you need to consider before a problem arises.

The law in this area is evolving and there are two Court cases that have found Employer’s partially liable for injuries suffered by an employee after leaving a company event.

In order to protect yourselves, here is a summary of tips taken from those cases which will help reduce your liability:

• revise internal policies and send a memo or e-mail before the event to all employees reminding them that attendance is voluntary, that they should not drink to excess, and that they should not drink and drive have a social responsibility policy and require employees to sign an acknowledgement
• put in place sufficient liability insurance
• hold the event at a public facility, which will assume some of the responsibility for monitoring alcohol consumption
• do not provide an open or unsupervised bar; hire professional bartenders, advise them not to serve employees who appear to be drunk, and instruct them to contact a designated company representative if there is a problem
• if the event is at a hotel, arrange rooms so that intoxicated employees may stay the night
• develop a system to monitor alcohol consumption and take positive steps to track how much employees are drinking, such as using drink tickets, the trading of which should be prohibited
• provide a wide range of non-alcoholic beverages
• stop serving alcohol at least two hours before the event’s end
• have security monitor employees as they are leave; for those employees suspected of being drunk, insist on retaining their car keys and arrange a taxi ride home or overnight accommodation
• make taxi slips available to employees as they leave

Following the above steps can help to limit your liability in the event of an incident. Remember, we’re not just talking about automobile accidents here, sexual harrassment and sexual assaults are also incidents that are at risk from social drinking at Office Parties.

Inga B. Andriessen
Senior Lawyer

Termination Pay in the Contract for Employment

In Ontario, and in most Canadian jurisdictions, the law allows an employer to end a contract of employment, and to thereby terminate an employee, at any time. If the termination is for cause, then you had better be ready to prove it. If the termination is without cause, then the law requires you to provide notice of the dismissal to the employee – and that’s the subject of this blog.

There are two options for notice of dismissal – the first is known as working notice. With working notice you inform the employee that you’re letting them go, then you allow them to continue to work (or to collect a paycheque anyway) for a period of time that can be calculated based on a handful of factors, including, most importantly, the employee’s length of service. This is a great option for the fantasy scenario where you know in advance what your work requirements are and the fantasy employee will continue to earn their paycheque right up until the last day.

In reality however, the reason that most employers dismiss an employee is because they want them out of the workplace immediately. That is where the second form of notice comes in; it is referred to as pay-in-lieu of reasonable notice. In this scenario, an employee is paid, either in lump sum, or in installments, an amount equivalent to their pay for the duration of the above-mentioned notice period. It is not uncommon for an employer to be faced with the obligation of paying a long-standing, though ill-performing, employee for an equivalent of a month or more, for every year of the employee’s service – and if the employee disputes your calculation of their entitlement, add legal fees to the payout…

These are the two unpleasant options that every employer who doesn’t plan for the inevitable has to choose from when faced with the already daunting task of having to dismiss an employee.

A third alternative, and one we recommend to clients wherever practicable, is to draft a contract for employment that includes a fair and reasonable limitation on the notice period that the employee will be entitled to on dismissal. This option provides clarity to both the employee and the employer and it provides an unambiguous dollar value to the dismissal entitlement. This allows the employer to weigh the real cost of dismissal. Perhaps most importantly, if done properly, a notice limitation eliminates the need for litigation.

A properly drafted contract, including an explicit clause outlining an employee’s dismissal entitlement will almost certainly save you the legal fees involved in drafting it – every time you use it. If you are an employer who values certainty, please contact us about drafting the contract that all of your new employees should be signing.

Scott R. Young