In Alberta, termination “without cause” generally refers to situations where an employee is let go due to reasons unrelated to misconduct, such as business restructuring or downsizing. On the other hand, termination “for cause” occurs when an employee is dismissed due to serious misconduct such as theft or harassment.
A contract may allow a party or both parties to elect to bring it to an end, for no specific reason. If that is the case, understanding the notice requirements will be incredibly important.
A Termination Without Cause clause is a contractual provision that allows one or both parties to terminate the agreement without stating a specific reason or cause, typically upon providing advance written notice and subject to certain conditions or consequences.
Comment: A termination without cause provision (also called a “termination for convenience” clause) permits one or both parties to terminate the agreement at any time after an initial contracting period.
Just causes refer to situations where the employee has committed acts that warrant termination due to misconduct or failure to meet obligations. These causes are well-delineated under Article 297 of the Labor Code.
A Termination Without Cause clause is a contractual provision that allows one or both parties to terminate the agreement without stating a specific reason or cause, typically upon providing advance written notice and subject to certain conditions or consequences.
Sample Language At any time after the expiration of the Initial Term, PurchaserSuppliereither party may terminate this Agreement, with or without cause, upon not less than Number, e.g., 180 days' written notice to the other party.
Check that you have a ground for termination Most contracts will include clauses about specifically when a contract will be terminated, so it should be clear whether or not you have grounds for termination. But there's also a general right to terminate a contract if a breach of contract occurs.