Pearson worked at a supermarket until voluntarily resigning in September 2020, then applied for the Canada Recovery Benefit (CRB) from September 2020 to February 2021.
The Canada Revenue Agency (CRA) initially accepted Pearson’s claims but later reviewed his eligibility, ultimately deciding he was ineligible as his resignation was voluntary and unrelated to COVID-19.
Legal Issues:
CRB Eligibility: The main issue was whether Pearson’s voluntary resignation disqualified him from receiving CRB.
Voluntary Resignation vs. COVID-19 Impact: Whether Pearson's unemployment and income reduction were directly related to COVID-19.
Judgment:
Judge: Madam Justice Walker
Decision: The application for judicial review was dismissed.
Reasoning:
The Court found the decision reasonable, as Pearson did not provide evidence linking his reduced hours or resignation to COVID-19.
Pearson’s voluntary resignation and subsequent unemployment were not sufficient to demonstrate eligibility for CRB under the COVID-19 related reduction criteria.
Costs: Pearson was ordered to pay $250.00 to the Respondent as costs.
Conclusion:
The Federal Court upheld the CRA's decision, emphasizing the necessity for clear evidence linking unemployment and income reduction to COVID-19 to qualify for CRB benefits.
