Reference no: EM133212288
Zoey is 37 years old, has a high school education, and has worked for the Wallace Tea Company for 15 years. It is the only job she has ever had. Over the years, she has been promoted to the position of Event Coordinator & Tea/Coffee Taster.
Dylan was hired as Wallace Tea Company's new CEO. They immediately implemented several changes, including a new written policy ending monthly car allowances (Zoey received $200/month) and implementing a system requiring employees to submit business-related mileage and gas receipts for reimbursement after approval. Zoey was unhappy with this policy but did not object because she was starting a parental leave at the end of Dylan's first week.
During Zoey's parental leave, Dylan emailed Zoey a new employment agreement. It contained a new termination provision that said, "Upon termination from employment without cause, the company shall provide you with a payment equal to your salary entitlements for the length of the notice period required under the Ontario Employment Standards Act." Zoey's friend, who works in Human Resources, told Zoey that the provision may be unenforceable because it did not provide for benefits coverage during the notice period.
Dylan's email also advised Zoey that she would no longer be responsible for the company's annual coffee event, because Wallace was focusing on tea sales. This disappointed Zoey, who had built her reputation on her organization of that annual event. Zoey did not respond, because she was focused on caring for her baby.
When Zoey returned from leave, Dylan chuckled and said, "I hope you enjoyed your vacation, considering you didn't even have the baby." Dylan asked about the signed contract. Zoey said she could not sign it because she had concerns it was not legal.
The exchange got tense. Dylan said, "You're always asserting your "rights". If you're not going to sign it, then don't come in tomorrow." Zoey responded with a long, audible sigh. She slid her company-issued laptop across the table and walked out. She did not show up the next day.
Dylan opened the laptop and noticed a shortcut to instgram, which they clicked. Dylan started reading Zoey's direct messages and noticed that Zoey had messaged the Edwin Coffee Company's account with the names of the sponsors for Wallace's annual coffee event.
The next Monday, Zoey showed up to work and explained that she had walked out of the previous meeting because she was mad and uncomfortable. When Dylan saw her, they said, "Get out of here." Zoey complied.
The next day, Dylan sent Zoey a letter that stated the following:
This letter confirms your resignation from your employment at Wallace Tea Company. On a without prejudice basis, however, Wallace Tea Company will provide you with the minimum amounts required under the Ontario Employment Standards Act in exchange for a full and final release. Please note that if you do not accept that proposal, in addition to the company's position that you have resigned from your employment, the Company has just cause to terminate your employment due to your misuse of the company laptop and disclosure of confidential information."
Zoey wants to bring a lawsuit.
Please do the following:
Identify ONE legal issue in the scenario above;
Set out the applicable legal principles or laws that may apply in respect to that issue;
Provide an analysis of how the facts of the case are relevant to the legal principles; and
Provide your conclusion of how you think a court would rule.