A worker in British Columbia allegedly rushed to a gas station and filled up both his personal vehicles using his employer’s fuel card on the same evening he was fired, then later falsely told the company he had thrown his phone in a lake.
Those allegations led Spani Developments Ltd. to deduct $811.77 from the worker’s final paycheck. But when the worker tried to get that money back months later, the Civil Resolution Tribunal found he had already released all claims against the employer in a wrongful dismissal settlement.
What happened after termination
Spani Developments terminated the worker on May 29, 2023. The employer alleged that later that same evening, the worker improperly used a company fuel card to fill up his two vehicles with gasoline. The employer also said the worker continued to use a company phone he was obligated to return.
The employer deducted $650 for the phone and $161.78 for fuel from the worker’s final paycheck.
On June 8, 2023, the worker told the employer he had thrown the phone in a lake. One week later, he changed his story. He texted to say he had sent the phone back by registered mail, explaining he misrepresented the phone’s location because he “still had to retrieve stuff from it.”
That same day, the worker advised the employer he had hired a lawyer to pursue a wrongful dismissal claim. The employer retained its own lawyer.
The settlement
The parties signed a settlement agreement on March 12, 2024. In the preamble, the agreement stated the worker “alleged a claim of wrongful dismissal and additional damage and costs.” Under the terms, the employer paid the worker a sum of money. The worker signed a separate release the same day.
In the release, the worker agreed he had “no other outstanding claims, suits or complaints” against the employer arising from his employment or its termination.
The claim
Nearly nine months later, on Dec. 9, 2024, the worker applied to the tribunal seeking the $811.77 in deductions. He argued he had repeatedly asked his lawyer to address the phone and fuel issues with the employer, but the lawyer failed to do so.
The tribunal found the claims about the phone and fuel “directly arise from his employment with Spani and its termination. They are clearly tied to those events.”
The tribunal determined the worker released these claims by signing the settlement agreement and release. The wording was broad enough to include the deductions, and the worker had agreed he had no other outstanding claims.
The decision
The tribunal found no indication the settlement agreement and release were invalid. A lawyer represented the worker during the settlement process, making it unlikely he was under duress or that the agreement was unconscionable. The worker did not make such allegations.
The tribunal acknowledged the worker’s statement that his lawyer failed to address the fuel and phone claims but found this unproven by documentary evidence.
Even if true, the tribunal wrote, “Spani was not responsible for providing legal advice” to the worker. That was not a reason to cancel the settlement agreement and release.
The tribunal found the settlement agreement and release were “a complete defence” against the worker’s claims. It dismissed the case and the worker’s request for reimbursement of tribunal fees.
The tribunal did not make findings about whether the worker actually improperly used the fuel card or failed to return the phone, relying instead on the settlement agreement to decide the dispute.
