An Ontario Superior Court judge has ruled that a senior executive was entitled to compensation for restricted stock unit and share option incentives that wouldn’t have fully vested until after the reasonable notice period.

“This is the first time that I am aware of where an employee recovered compensation that would have only been received after the notice period,” says Barry Fisher, a veteran Toronto-based mediator and arbitrator in employment and labour relations matters and who wasn’t involved in the case.

Read: Decision raises questions about dependent contractors’ entitlement to reasonable notice

Goeasy Ltd. employed Shadi Khatib for 3.5 years as a senior vice-president.  His compensation comprised a base salary and participation in the employer’s short-term and long-term incentive plans, the latter of which provided both restricted stock units and share option benefits.

“There were very substantial monies tied to both RSUs and SOs that vested after the plaintiff’s date of termination,” Fisher says.

After awarding Khatib an eight-month reasonable notice period, Justice Carissima Mathen rejected Goeasy’s argument that........

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