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Gowlings' Legal Tips for Manufacturers

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All Ontario Employers need to take stock of important new changes to the regulation of violence and harassment in the workplace.

On December 9, 2009 Bill 168, "An Act to amend the Occupational Health and Safety Act with respect to violence and harassment in the workplace and other matters," passed third and final reading in the Ontario Legislature. The bill is expected to receive royal assent and should come into force in June, 2010.

New Requirements for Employers:

The bill will require employers...

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With the Supreme Court's decision last week in Consolidated Fastfrate Inc. v. Western Canada Council of Teamsters, national and international freight forwarders operating in Canada, formerly regarded as subject to federal labour and employment law, may now fall under the jurisdiction of provincial law.  The Court reversed the decision of the Alberta Court of Appeal and held that Consolidated Fastfrate Inc., a freight forwarder providing service across several provinces, falls under provincial...

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Recent economic conditions have driven many companies to find creative ways to reduce their labour costs without resorting to layoffs. Examples of such cost-saving measures include reductions in benefits, wage and salary cuts, as well as more innovative means such as forced vacation days and work-sharing arrangements accompanied by proportionate salary reductions.  A similar idea is illustrated by the "Dalton Days" being contemplated by the Ontario government.

Such alternatives carry risks for...

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Manufacturer's should be aware of impending changes to the regulation of toxic substances in Ontario. In June of 2009, the Ontario government passed Bill 167, the Toxics Reduction Act, 2009. Through enhanced public disclosure requirements, the Act aims to reduce the amount of toxic substances used in manufacturing processes in Ontario. 

While the federal National Pollutant Release Inventory (NPRI) already requires broad disclosure, Ontario's Toxics Reduction Act, 2009 will place even greater...

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Companies who import, handle, offer for transport, or transport dangerous goods would be well-advised to make themselves aware of recent changes to the Transportation of Dangerous Goods Act, 1992. While these changes are intended to enhance public safety and security during the transport of dangerous goods, they make compliance more onerous for those dealing with dangerous goods. The changes make regulation in this area more strict, provide more discretion to the Minister, and broadened the...

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Product liability leading to personal injury or property loss can greatly impact importers, vendors, manufacturers, distributors, and retail sellers in any industry. It can also lead to complex litigation which can be costly, protracted and disruptive. Product liability claims alleging manufacturing defects, design defects, or the failure to warn involve high stakes given the potential for mass tort action resulting from modern industrial society. Today's marketplace knows no jurisdiction, and...

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Two recent Ontario court rulings mean that lawyers and their clients will likely be paying much closer attention to the wording and implications of confidentiality agreements, particularly in the context of hostile takeover bids.

In Gold Reserve Inc. v. Rusoro Mining Ltd., the Ontario Superior Court of Justice granted a temporary injunction enjoining Rusoro from engaging in a hostile take-over bid for Gold Reserve. The injunction also restrained Rusoro's financial advisor, Endeavour Financial...

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Large commercial vehicle operators should take note of new changes to Ontario's Highway Traffic Act. Under section 68.1 of the Act, speed limiters are now mandatory for all commercial vehicles manufactured after January 1, 1995 with a manufacturer's gross vehicle weight rating over 11,794 kg. This new law applies to all such vehicles, regardless of home state or province, although vehicles manufactured before 1995 are exempt alongside buses, cranes, and emergency vehicles.

The new requirement...

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A recent decision of an Ontario court should serve as a warning to all employers regarding the care that needs to be taken when drafting termination letters.

In Stowar v. Telehop Communications Inc., the court dealt with a situation where a termination letter drafted by an employer overstated the employer's obligations under the Employment Standards Act of Ontario ("ESA").  The letter specifically stated:

You will receive an additional five months pay in lieu of notice of termination as per our...

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Since the Corruption of Foreign Public Officials Act (the “CFPOA”) entered into force on February 14, 1999, it has not been an important concern for most companies.   This is largely due to the fact that only one Canadian company has been prosecuted under the CFPOA to this point.   However, with the increased focus internationally on combating corruption, and the aggressive approach now being taken in the U.S., this is likely to change.

Many companies are violated the provisions of...

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