Dr. Wigdor's RSU entitlements qualified as a term or condition of employment despite being tied to the sale of his consulting company. Punitive damages were not warranted because the delayed payment of statutory entitlements, though troubling, did not rise to the level of harsh or malicious conduct. The RSU Entitlements started work with Facebook Canada and on an ongoing basis. These are governed by M s 2012 Equity Incentive Plan and RSU Awar nt, RSU vesting is terminated during the ESA notice period. The Applicant submits that this agreement clearly breaches s. 61 of the ESA, which requires employers to maintain all “terms and con Law360 Canada (October 2, 2025, 9:10 AM EDT) -- A recent Ontario Superior Court decision is being widely regarded as the last word on whether restricted stock units (RSUs) continue to vest after termination when the equity contract cuts them off. On this basis, the Court rejected Wigdor’s argument that the termination language in the RSU agreements violated section 61 of the ESA. The Court also found that the language in the 2021-2023 RSU Agreements did not mislead employees or contain a common defect. CanLII's goal is to make Canadian law accessible for free on the Internet. This website provides access to court judgments, tribunal decisions, statutes and regulations from all Canadian jurisdictions. In Wigdor v. Facebook Canada Ltd., 2025 ONSC 4861, the applicant, a former Facebook employee, sought an order that the termination provision in his employment was unenforceable and that he was entitled to continued RSU vesting for the duration of his notice period pursuant to the Employment Standards Act, 2000 (the ESA). The decision in Wigdor v. Facebook Canada Ltd. (2025 ONSC 4861) offers three distinct employer lessons: on termination clause drafting, on equity compensation at the time of dismissal, and on the risks of delaying ESA minimum payments. In a significant decision for employers offering equity-based compensation, the Ontario Superior Court in Wigdor v. Facebook Canada Ltd. 1 upheld the forfeiture of unvested restricted stock units (RSUs) following an employee’s termination of employment. In December 2023, Facebook Canada terminated Wigdor’s employment without cause. He was offered his statutory minimum entitlements under the ESA, but only on the condition that he sign a full and final release, which included forfeiting rights to his unvested RSUs. Wigdor refused to sign. When Facebook Canada dismissed Dr. Wigdor without cause in December 2023, he claimed that those RSUs granted to him – valued in the millions of dollars – should continue to vest throughout the applicable notice period.