Question
Sally Jones is employed as a sales manager with ABC Distributors Inc. She joined the company as a sales trainee 9 years ago and was
Sally Jones is employed as a sales manager with ABC Distributors Inc. She joined the company as a sales trainee 9 years ago and was promoted to sales manager approximately 3 years ago. About 6 months after she started to work, she signed some employment documents including an agreement that ABC Distributors could terminate her employment at any time by providing the minimum notice prescribed by applicable employment standards legislation and that, if her employment is terminated for any reason, Sally could not work for a competitor anywhere in the Province of Ontario for a period of 3 years. The company has terminated Sally's employment without cause and has agreed to pay Sally the proper amount owing under the Employment Standards Act, but no more and it insists that she is bound by the noncompetition agreement.
What advice can you give Sally regarding the enforceability of the termination and noncompetition clauses and her entitlement, if any, to any additional compensation for the termination of her employment?
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