Was it discrimination? Rushed acquisition overlooks worker on mat leave

$34,000: Employer looks to stay award pending judicial review

Was it discrimination? Rushed acquisition overlooks worker on mat leave

A company's failure to identify an employee on maternity leave during a rushed business acquisition has resulted in a finding of discrimination and an award exceeding $50,000.

Since the original decision in June 2025, the employer has requested to delay the award pending the determination of its application for judicial review of that decision.

However, the Ontario Superior Court of Justice recently dismissed Brandt Tractor Ltd.'s attempt to delay payment, with Justice Mario D. Faieta ruling the company must pay Melissa Morasse while it pursues its judicial review of the Human Rights Tribunal of Ontario's decision.

Employee on maternity leave

In August 2019, the former owner of Nortrax Canada Inc. offered to sell its business to Brandt Tractor on condition the sale close by Oct. 31, 2019. Prior to closing, Brandt visited 29 Nortrax locations to determine which employees it would hire.

"Nortrax did not extend an offer of employment to any Nortrax employee that was unable to interview," the court noted. "Brandt was unaware that Ms. Morasse was on maternity leave."

On Oct. 31, 2019, Nortrax notified Morasse that the business had been sold and her employment was being terminated without cause on account of the sale to Brandt.

Family status cited by tribunal

On June 4, 2025, the Human Rights Tribunal of Ontario found that Brandt "discriminated against Ms. Morasse in terminating her employment on the basis of sex (pregnancy) and family status."

The tribunal explained that there was no evidence that the employer intended to discriminate.

“Rather, the infringement of the [Human Rights] Code in this case occurred because the respondents failed to consider that some of the Nortrax employees who were absent at the relevant time were absent for reasons that attract the protection of the Code, such as maternity/parental leave.”

The HRTO ordered Brandt to pay $30,217 for lost wages, less statutory deductions. The tribunal added $20,000 in compensation for injury to dignity, feelings, and self-respect.

Pre-judgment interest applied from April 7, 2021 on both amounts, with post-judgment interest to accrue if the award wasn't paid within 45 days.

Failed stay attempt

On July 3, 2025, Brandt commenced an application for judicial review, arguing the HRTO failed to apply, or misapplied, the law in concluding that Morasse's parental leave was a factor in Brandt's decision not to hire her. The judicial review hearing is scheduled for Feb. 10, 2026.

Brandt also sought to delay enforcement of the award, claiming a real risk that it couldn't recover the money from Morasse if the judicial review succeeded. The company pointed to Morasse's outdated LinkedIn profile and tax assessments from 2018-21.

Justice Faieta rejected the argument, finding Brandt's evidence "very weak" and based largely on speculation. The court found no clear evidence that Morasse would be unable to repay the award if Brandt's judicial review proved successful.

"The interests of justice dictate that this motion be dismissed," Justice Faieta concluded, ordering Brandt to pay costs of $5,000.

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