A class action suit against Toronto-based Noranda will proceed after a Quebec Superior Court authorized legal action in a disagreement over interpretations of the company’s pension plan.
Montreal law firm Unterberg, Labelle, Lebeau & Morgan says the application was lodged on behalf of Real Courchesne, a retired human relations officer at one of Noranda’s business units. The suit represents about 950 non-union employees and older staff.
The suit says the plaintiffs are owed money because of the company’s interpretation of the pension plan.
Lawyers representing Courchesne say the pension should be based on the best 60 months of an employee’s time with the company, including vacation pay, bonuses, stock options, and other fringe benefits, whereas the company solely bases its pension calculation on an employee’s best 60 months.
Under Quebec law, the contract falls under the definition of an “adhesion contract.” According to Courchesne’s lawyers, if an adhesion contract is unclear, it should be interpreted against the party that drafted it. This would increase Courchesne’s pay-out by roughly $3,400 a year.
A Noranda spokesman would not offer comment before the case goes to court.
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