When a building changes service providers, the incoming company may inherit more than the contract. It may also become responsible for substantial termination liabilities if it decides not to employ the outgoing provider’s workers.
This has been the case for notice and severance obligations under the Employment Standards Act, 2000 (the “ESA”), but the question of who would bear potential common law notice obligations has remain uncertain. That is the central issue resolved by the Ontario Court of Appeal in Kondaj v. Crossbridge Condominium Services Ltd., 2026 ONCA 636.
Background
Gazmend Kondaj worked as a building manager for Crossbridge Condominium Services Ltd. at the SoHo Hotel & Residences. When the property management contract was retendered, Duka Property Management Inc. replaced Crossbridge as the service provider.
Duka decided not to employ Mr. Kondaj. Crossbridge also did not place him at another property. Duka paid his minimum termination entitlements under the ESA, but… Read the complete article here...
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