Safety & HCM Post

Securities Trader Wins Nearly $300K for Constructive Dismissal, Defamation

Like so many in the profession, a stock trader racked up big losses in the financial crisis year of 2008. Insult to injury came when the firm demanded she post an extra $50K as reserves to repay the losses. She refused and left the firm after it suspended her from trading. In the database of traders maintained by the securities regulatory agency, the firm listed the trader as being fired for cause and engaging in unauthorized trading. It then sued her to recover the trading losses; she countersued for constructive dismissal and a host of other things. And she won. The court ordered the firm to pay her $288,144, including 6 months’ termination notice, $25K for defamation (the false information the firm posted on the database wasn’t privileged) and another $25K in punitive damages. The Ontario Court of Appeal upheld the trial court on every count and ordered the firm to pay an additional $35.5K to repay the extra legal costs the trader incurred in defending herself in the appeal [Hampton Securities Limited v. Dean, 2018 ONCA 901 (CanLII), Nov. 9, 2018]

Bongarde Editorial

Bongarde Editorial

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