Anne Bucher  |  February 9, 2022

Category: Covid-19

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Couple and receptionist at counter in hotel wearing medical masks as precaution against virus. Young couple on a business trip doing check-in at the hotel
(Photo Credit: Space_Cat/Shutterstock)

Hotel Employees COVID-19 Termination Class Action Lawsuit Overview:

  • Who: The BC Supreme Court has certified a class action lawsuit that was filed on behalf of a group of Ocean Pacific hotel employees who were terminated during the COVID-19 pandemic.
  • Why: The court found that the plaintiff adequately pleaded common claims on behalf of the proposed class and that he was appropriate to serve as a class representative.
  • Where: The lawsuit was certified in the BC Supreme Court.

The BC Supreme Court has recently certified a class action lawsuit filed on behalf of a group of hourly hotel employees who claim they were allegedly terminated for reasons related to the COVID-19 pandemic. 

The representative plaintiff was employed as a concierge at a hotel owned by Ocean Pacific Ltd. and says he was wrongly terminated. He filed the COVID-19 termination class action lawsuit on behalf of himself and other regular hourly rate employees who had been employed by Ocean Pacific.

The Ocean Pacific class action lawsuit asserts claims for wrongful dismissal, breach of the duty of good faith and honest performance in contract, and unjust enrichment. The plaintiff is seeking punitive damages and pre- and post-judgment interest.

The COVID-19 pandemic has caused widespread disruption throughout the world. Faced with mandatory closures and/or reduced demand for services, many industries have been forced to make difficult decisions about how to navigate the situation.

In the Ocean Pacific class action lawsuit, the plaintiff argues that the defendant may have intentionally misled hotel workers about their prospects for continued employment. He pointed to communications that Ocean Pacific sent to the putative class members, describing a journey they would “take together.” 

When this encouraging communication was sent to the class members, Ocean Pacific had allegedly already determined it would terminate most of them, the lawsuit alleges.

Ocean Pacific Urged Court to Deny Class Action Certification

Ocean Pacific urged the judge not to certify the COVID-19 termination class action lawsuit, arguing that the plaintiff’s claims did not provide a cause of action, the proposed class definition was too broad, the claims do not establish common issue and that the plaintiff is unsuitable as a representative plaintiff.

The court found that the proposed class had sufficient commonality because they had all received the same hopeful communication and certified the question of whether these communications constituted a breach of the duty of good faith and honest performance.

The court also determined that, based on the principles of judicial efficiency and access to justice, certifying the class action was appropriate to simplify and resolve the allegations.

The court did not find that the representative plaintiff had a conflict that would prevent him from adequately representing the class and determined that it was appropriate to certify the Ocean Pacific class action lawsuit.

Do you think Ocean Pacific misled the Class Members about their job prospects during the COVID-19 pandemic? Join the discussion in the comments section below!


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