Kirke v Spartan Controls Ltd
Bruce Walter KirkeBruce Walter Kirke
Law Firm / Organization
Not Specified
Spartan Controls Ltd.
Law Firm / Organization
McLennan Ross LLP

Key Issues

  1. Wrongful Dismissal & Notice Period

    • Kirke, a Spartan employee from 1997 to 2022, was terminated and awarded 20 months' notice.
    • His entitlement to damages for salary, benefits, and bonuses was undisputed, but the inclusion of SHPS payments was contested.
  2. SHPS Payments & Share Buyback

    • The SHPS program allowed employees to buy shares and receive payments based on profitability.
    • The USA granted Spartan the right to repurchase shares within 90 days of termination.
    • The trial judge ruled SHPS payments were part of Kirke’s compensation but limited by the USA buyback clause.
  3. Appeal & Cross-Appeal

    • Kirke: Claimed the USA did not clearly limit his SHPS entitlement and that the buyback was oppressive and in bad faith.
    • Spartan: Argued SHPS payments were investment returns, not employment compensation.

Court’s Decision

  • SHPS payments were employment compensation but contractually limited.
  • The USA’s 90-day buyback provision was enforceable.
  • No bad faith or oppression was found.
  • The Hamilton principle correctly applied, limiting damages to 90 days of SHPS payments.

Outcome

  • Both appeals dismissed; damages capped at 90 days of SHPS payments.
  • The judgment does not specify costs.
Court of Appeal of Alberta
2301-0322AC
Labour & Employment Law
Respondent