Non-Solicitation Injunctions - Issue to be Tried
In a recent KB decision, Badger Infrastructure v. Parent-Walker , the Court took an odd perspective in relation to the burden of a plaintiff seeking an injunction against a former employee and their new organizations. The injunction application was ultimately dismissed, and probably rightly so, but there are reasons to doubt the analysis the court used to achieve its outcome. The employee ("Walker") was dismissed on allegations of just cause; a separate action is ongoing in Ontario small claims court for wrongful dismissal. Walker went on to work for a competitor, and the former employer ("Badger") brought this action arguing that Walker was misusing confidential information and breaching non-solicitation and fiduciary obligations. Walker took the position that Badger had waived any restrictive covenants. The context for this waiver dealt with the wrongful dismissal action: a wrongfully dismissed employee generally has an obligation to take reasonable s...