Little white salary lies

|Canadian Employment Law Today

Islip v. Coldmatic Refrigeration of Canada Ltd. (2002), 100 B.C.L.R. (3d) 234 (B.C.C.A.)

After unsuccessful attempts to purchase the business of a competitor, Coldmatic decided to try and lure away one of the competitor’s key employees, Islip. After several discussions, Islip prepared a written proposal which set out terms of employment.

He stated that his current salary was $75,000 per year but, in fact, his salary was $61,000 plus bonuses. Islip and Coldmatic reached an agreement which included a salary of $75,000. After Islip resigned his old position, some difficulties arose with the terms of the employment contract. Islip took the position that Coldmatic had repudiated the contract as a result of its failure to comply with the stated terms. Coldmatic’s actions were found to constitute a constructive dismissal.