Preston v. Cervus Equipment Corporation

ONCA 804

• Background: Matthew Preston, a former employee of Cervus, sought damages for vested stock units valued at $75,949.81. He argued the Settlement Documents he signed after his termination did not cover these units.
• Motion Judge’s Decision: Found that the Settlement Documents did not release Mr. Preston’s claim for the vested stock units and awarded him the value of $75,949.81.
• Appeal Court Decision:
  • The Court of Appeal reversed the motion judge’s decision, ruling that the Settlement Documents clearly released all claims, including for the vested stock units.
  • Judgment was granted in favor of Cervus, effectively denying Preston’s claim for the $75,949.81.
  • Cervus was awarded appeal costs of $5,000.

ONCA 861

• Issue: Costs of the original proceeding.
• Decision: The Court of Appeal ordered Preston to pay Cervus $30,000 in costs for the initial motion, in addition to the $5,000 costs awarded for the appeal.

Outcome

• Total Costs Awarded to Cervus: $35,000 ($5,000 for appeal + $30,000 for the original motion).
• Damages for Vested Stock Units: Denied. Mr. Preston’s claim for $75,949.81 was dismissed based on the broad release language in the Settlement Documents.