This action arose out of an employment relationship between our client, and employer, and a trade untion certified under a collective agreement.
In one of the first cases of its kind in Canada, our client, a small business, was awarded punitive damages of $100,000 against a trade union that had gone on an illegal strike for 12 days.
It was held the Union improperly stopped work over a complaint about an employee who was a relative of one of the Union executives. When the Union did not get its way, it forced its members to withdraw their services and threatened to put the small company out of business unless its demands were met. It was also found on the evidence we presented that the Union had attempted to intimidate workers who wanted to go back to work. The decision vindicates the small business and communicates a strong message. The business, was also awarded over 50,000 in general damages.
Former Cabinet Minister the Honourable Herb Dhaliwal, the owner of the business was supported by the Arbitrator in the courageous position he undertook.
Punitive damages are exceptional damages awarded in the rarest of circumstances. They are meant to send a message certain conduct will not be tolerated. The law has only recently allowed punitive damages to be awarded in circumstances such as these and this case will be an important employment law precedent.