An appeal case involving a former staff member of the National Bank of Dominica, (NBD) is down to be heard by the Eastern Caribbean Supreme Court, which sits here from April 30.
Michel Williams had taken the local bank to court citing “wrongful dismissal”.
But Justice Brian Cottle dismissed his challenge and instead slapped him with a hefty fine.
In December 2008, Williams executed a contract with the bank as Assistant General Manager for three years.
However, by letter dated March 31, 2009 he was dismissed from his post with immediate effect.
According to the bank, Williams’ employment was terminated under Clause 7 (3) of his contract “by no fault of either party.”
In a seven-page judgment handed down on February 3, 2011 Justice Cottle wrote, “in this case, the Claimant sought, inter alia special damages in the sum of EC$2,113,114.00. I take this to be the value of the claim. I award the defendant (NBD) prescribed cost on this amount. If my arithmetic is correct, this amounts to EC$99,894.42.”
At the heart of the matter is the decision of the board to terminate the services of Williams “without cause”.
According to his lawyer, the bank breached an implied term of the contract which required the NBD, his employer, to maintain mutual trust and confidence between the parties.
Justice Cottle in his ruling noted: “They say that under clause 7 (3) the Claimant agreed that the bank could dismiss him without cause, upon payment in lieu of stipulated notice”.
He went on to explain that the case for the Claimant (Williams) is that in the absence of specified circumstances of misconduct, he could only be properly dismissed for reasonable cause or if his position became redundant, or the bank went out of business or he became incapacitated or for some unforeseeable cause which rendered the performance of the contract impossible (commonly referred to as no fault termination.)
“In the case before us, I find that the contractual provision is clear. Clause 7 (3) deals with termination either for reasonable cause or by no fault of either party.
This must mean termination without cause,” the Judge stated.
In looking at the manner the dismissal was effected, Justice Cottle dismissed the arguments of Williams’ lawyer, who argued that his client’s dismissal was wrongful because it was effected by the Board of Directors and not the Bank as provided for under clause 7 (3).
The judge explained that “two issues arise in the case at present. Firstly, could the directors do what the agreement says only the company could do? The answer is obviously yes. The bank has no arms or legs or mind. It cannot act save by the natural persons who are its officers”.
“Secondly, under the bylaws which govern the defendant bank, at by law 4.1 it is provided that subject to any unanimous shareholder agreement, the business and affairs of the company shall be managed by the directors,” Justice Cottle said.
“It is at this hurdle that the claimant fails. The directors are acting according to the terms of his contract. His contract provides for dismissal without cause. For the foregoing reasons, the claimant must fail. The claim is thus dismissed,” he ruled.
The appeals court now has the task of determining the accuracy of that judgement.
is there no employment law in dominica.
1. yes the judge have to take the contract into consideration but also there should be employment law in place that forbides dismissing employees for no valid reason.
i am a dominican living abroad for the past 15years and i am considering returning home for good…but this makes me stop and reconsider my decision.
2. for an assistant manager you should have read every single line in the contract and understand it before signing it. ‘did u do business law’
1. Protection of employment act does not cover executives. Only the contract is in force
2. The issue at task is that the contract does not say that he can be dismissed without cause. What it says is with reasonable cause or by no fault of either party. The bank decided to interpret by no fault of either party to mean without cause and the judge agreed with them. At issue in the appeal is whether the judge was correct in that interpretation.
My understanding is that one side believe that no fault of either party means there must be an occurrence that causes no fault by either party the other side believes that it gives the bank unristricted right to dismiss without any occurrence or any reason whatsoever for that matter! That dont sound right!!!!
In my own personal opinion, I believe that Michel was threatened the job of someone whom he trusted a lot and that someone gave him the “bladed” edge of the sword to hold. Don’t stop pursuing your cause Michel. “Dismissal without cause”? What’s that? The Bank needs to be open to people when doing business with them; whether it be staff and or client. By the way, anyone know’s where “Diggi” is these days, is West Indies Power still his baby? Allas, NBD has been rescued, but poor Michel had to fall innocently too.
Dominica has Barclay’s Bank, Royal Bank and Scotia Bank. I am wondering if those banks which are foreign banks have such a ruling in their contract, if they employ people as contract workers. It is worthwhile looking into.
This is a strange regulation, “without just cause.” How can an employer dismiss an employee without just cause? In my estimation, it makes no sense whatsoever. There must be a reason why an employee is dismissed. It is unfair to the employee. Writing this gets me angry at NBD. This is a stupid and senseless rule which should be quashed. The Bank should be held accountable and pay him for dismissal. I hope he wins his case at the Appeals Court.
Woye!!! Well the judge have a point on Williams eh! Cause a contract is a contract, and one have to really careful what they sign, a clear lesson to all of us. Williams must have overlooked that part of his contract that say, “he can be dismissed without cause”, or maybe he thought it was a joke man? that sucks!! and now the man loose his job and still have a hefty sum to pay, yes sar papa! Sar say lavie! Some win some loose!
straight**
Victimization is a political phrase for termination without cause.
but why was he dismissed does anyone knows what happened, or is it a secret
Michel…just take it like a man and go and run your business; you’re better off
This government has the best legal victory record of all governments in history. it is about 99.9%. This government, its statury boards and any bank of institution related to it seem to be the ‘luckiest’ in the court system.
Its called WIN-LOSE-or DRAW.
@ Matrix 21
We are not opposing it. The situation is different in DA compared to years ago. However, what was done to this gentleman was wrong. NBD needs to re-write its contract regulations. You do not fire an employee ‘without just cause.’ Until it happens to you, you will not comprehend it. If it had happened to you or a member of your family or friend what would your reaction be? Food for thought.
termination without cause………. lets be careful we don’t end up like him….
It also means read the fine prints clearly and re-read the fine prints again then ask your lawyer to read it too before you sign away. Just think …my mortgage, my reputation, my development. If you are too confident in those environments it could come back to haunt you as in this case. He should have looked for the loopholes before he signed.
You have to be careful what you sign.
I think Justice Cottle’s decision will be upheld by the Appeals Court.
@ Marcus Hill
It may be unfair, pleasing the government, NBD. Would he fear his job would be on-the-line or fall out-of-grace with the government and the NBD authorities? You should know that the majority counts and is always right.
lol… what goes around comes around…..
The question now arise, should persons be signing these types of contracts!
I think as a young aspiring professional, if someone in authority on the job for some real foolish reason decides to mess you up, they got the armunition to do that. I don’t know how much this hurts the organization but I don’t think this guy would ever go back to NBD for a recommendation….or will he get a good one? In the US, they got laws protecting that, but in Dominica anything goes.
@ Aye Dominique
This is one of the problems in Dominica. There are few real Laws and human rights ones. If as it is stated he was dismissed without just cause, surely, he should be given a reference letter.
I think Judge Cottle misdirected himself.
the ROSEAU credit union wrongful dismissal case that’s interesting!!
I am not a lawyer but to my mind what the clause is talking about is the doctrine of “Frustration”. It is clear that the judge and the bank’s lawyer missed that part of their legal studies. I also believe that the bylaws which govern the defendant bank, at by law 4.1 does not give the board the right to deal with the day to day affairs of the bank once offercers have been appointed so to do.
DNO let’s see if this one will be published.
@ Papa Dom
I do agree with you. The bank should have a general manager, ass’t. general manager and manager. The Board of Directors should have nothing to do with his dismissal. It is not as if he stole money and an exorbitant sum which would affect the Board of Directors. From my point of view this is a stupid rule, “without just cause”. I have never heard of this. Of course I do not reside in DA and never worked under contract. I will look into it for my own curiosity.
Clause 7 (3) deals with termination either for reasonable cause or by no fault of either party.
In my simplest understanding, if am going to sign something with that statement i would think it would mean that God forbids i come sick and has to stop work then that would not be my fault or the banks fault.
The judge use it loosely like because you sign that contract you could go to work on a friday and all is well and then return to work monday morning only to find that at 10:00 am you could receive a letter of termination for no apparent reason
@ ok
Ever thought of it, a working environment could get people sick. I reside in Toronto and people get sick from the carpeting, some of which were not cleaned and shampooed in years. It also depends on the type of cleaning fluid which is used. I also heard that this occurred in Vancouver, British Columbia. Well, those places are not in DA but just an example.
Employees who are overworked could get sick, due to anxiety, stress and a difficult boss. Some employees could get a breakdown due to this. Employers get away with a lot. Do at least the government and major establishments in Dominica have management and training courses? If they do not, they should establish one.
Do soooo never like soooo
I rest my case
@ Anonymous
I wholeheartedly agree with you.
Wow, So a Bank goes thru the long process of searching for an assistant Bank Manager only to dismiss him 3 months later? Something must have been amiss, but to save face of the Bank and the Assistant Manager, they claim “no fault of either party”. Honestly, Mr. havent got a case. The Board of directors is the highest governing committee in the Bank, and it makes decisions on the behalf of the bank. Hiring and dismissal of General Manager and most probably Assistant General manager are decisions taken by the BOD. How he want to differentiate the Bank from the BOD? smh
@ Anonymous
How foolish of them. It cost them time and money to advertise and recruit prospective applicants. Now they dismiss him ‘without just cause’. This is the height of stupidity and wickedness in itself. If I were on the Board of Directors and knew of this, I would withdraw my funds from this Bank. It appears not to be reputable and also do not treat their staff humanely.
I do not reside in DA. Is this not the government bank? If so the government should set a good precedent.
It is called in Dominican language PULL STRING
“This must mean termination without cause.” Does it actually mean that?
Dismissed 3 months later….hehehe…something was definitely wrong, but to avoid any lawsuits (like that same one) they claim thru fault of no party
PAPA !