A recent decision by the Ontario Superior Court of Justice, Divisional Court is a reminder to employers that seemingly private communication about former employees can be liable for defamation claims.
In 2020, the employer, Paramount Safety Consulting Ltd., sent a letter via email, fax and mail to a third-party staffing agency, explaining why it was terminating an employee the agency had recommended. When the letter was obtained by the employee, he added a defamation claim to his already-in-progress wrongful dismissal claim to defamation.
A small claims court deputy judge dismissed the defamation claim, a decision which the divisional court has now set aside.