Employment & Labour Law for employees and employers across CanadaToronto Employment Lawyer

Before You Sign

Why a contract review is worth it

Employment contracts are written by the employer, for the employer. The terms you agree to at the start, especially the fine print about termination, can quietly determine how much you're owed years later if things end. Your leverage is never higher than before you've signed, and a short review can be worth many times its cost down the road.

What we look for

  • Termination clauses: the single most important provision, because a valid one can limit your severance to the bare ESA minimum. Some may be poorly drafted or outdated, which works in your favour to pursue your full severance entitlements
  • Restrictive covenants: non-competition, non-solicitation, and confidentiality terms (note that most non-competes are now prohibited in Ontario)
  • Compensation terms: how bonus, commission, and incentive pay are defined, earned, and paid out
  • Probation, IP assignment, and change-of-terms clauses
  • Anything that reduces your rights below what the law would otherwise give you

Offers, severance, and everything in between

We review contracts at every stage: a new offer letter before you accept, an existing agreement you're being asked to re-sign (often after a promotion), and, importantly, severance and release agreements when a job is ending. A release, once signed, generally gives up your right to pursue any action against the employer (such as to pursue an enhanced severance) so it should never be signed without understanding what you may be walking away from.

If you've been handed a severance offer with a signing deadline, don't assume it's final or that the deadline is firm. Having it reviewed before you sign is often the difference between accepting a first offer and receiving what you're actually owed.

How we help

  • Review your offer, contract, or severance agreement in plain language
  • Flag terms that limit your rights, and which ones may not be enforceable
  • Identify what's negotiable and help you negotiate it
  • Give you a clear recommendation before you sign
Employment Contract Review FAQs

Common questions about reviewing a contract.

Practical, Canadian-law guidance for employees navigating a dismissal, in Toronto and across Ontario and Canada.

Yes, it is one of the most cost-effective legal steps you can take. The termination and compensation terms you accept at the start can shape what you're owed for years, and your ability to negotiate is highest before you've signed.

In Ontario, most non-compete agreements signed since late 2021 are prohibited and unenforceable, with narrow exceptions (such as certain executives and the sale of a business), or workers in federally regulated workplaces (such as employees in banking, telecommunications, and radio & television). Non-solicitation and confidentiality clauses remain enforceable if reasonably drafted. It's worth confirming which type you've actually signed.

Yes: a valid, enforceable termination clause can lawfully limit you to the Employment Standards minimums, which are far less than common law notice. But many termination clauses are poorly drafted and don't hold up, which would entitle you to much more. Whether yours is enforceable is worth a review.

No, not before understanding it. Signing a release typically forfeits your right to pursue anything further, even if the offer is well below what you're owed. The deadline is rarely as firm as it looks; get it reviewed first.

Consultation

Have a contract to sign? Get it reviewed first.

We'll help you understand what you're agreeing to, clearly and without pressure.

Get In Touch

Tell us what happened.

Fill out the form and we'll get back to you as soon as we can.

(647) 992-0296 info@pelslaw.ca 507 King St E, Toronto, ON M5A 1M3

Submitting this form does not create a solicitor-client relationship. Please avoid sharing highly sensitive details until we've connected.

I'm contacting as an*
Do you belong to a union?