Updated
Updated · Ogletree Deakins · Aug 21
Ontario Appeal Court Cuts B&B Towing Damages by $125,640, Upholds No-Frustration Ruling
Updated
Updated · Ogletree Deakins · Aug 21

Ontario Appeal Court Cuts B&B Towing Damages by $125,640, Upholds No-Frustration Ruling

1 articles · Updated · Ogletree Deakins · Aug 21

Summary

  • $125,640 was stripped from a constructive-dismissal award after Ontario's Court of Appeal ruled a company tow truck and cellphone were work tools, not compensable employment benefits.
  • The court still upheld the finding that B&B Towing had not frustrated Jack Hill's contract, saying his physical limits were temporary, could be accommodated, and did not stop him from performing the essential duties of road boss within a reasonable time.
  • Hill had worked about 17 years in the role, with towing making up roughly 10% of his duties; after surgery in 2020, B&B told him in 2021 the position was gone and brought him back in 2022 as a lower-paid driver.
  • The trial judge had awarded $236,163.77 over a 22-month notice period, but the appeal court said personal benefit from the truck and phone was not proven through taxable reporting, pleadings, or evidence of meaningful personal use.
  • The ruling reinforces that frustration remains a high bar in Ontario disability cases and that specialized company equipment generally will not increase damages absent clear evidence it formed part of compensation.

Insights

Why did a towing company's attempt to demote an injured 17-year veteran backfire into a massive constructive dismissal payout?
Could losing your company vehicle during a wrongful dismissal cost you thousands if you fail to prove its personal value?