Question of Law

Court rules employees can testify against ex-employer
By Jeffrey Miller
|Canadian HR Reporter|Last Updated: 11/27/2000

Can you stop a former employee from testifying on the ground that his testimony against you violates his contractual obligation of confidentiality?

That very interesting question recently arose in Ontario as a result of several corporate acquisitions. This context makes it very important, of course, given the number of mergers and acquisitions we see these days in our economy.

The employees in this case once worked in pension administration at National Trust. Chrysler Canada kept its employees’ pension money under National Trust administration. National Trust then sold its pension business (including the Chrysler business) to Canada Trust, and the pension-administration employees along with it. Canada Trust “bought” the employees specifically for their pension fund expertise.