What is the test for damages for mental distress in a wrongful dismissal case?

Alberta, Canada


The following excerpt is from Kempling v. Hearthstone Manor Corporation, 1996 ABCA 254 (CanLII):

I agree that the rules for damages for mental distress may well be different in wrongful dismissal cases and in other cases. And I agree that such a claim must pass the rule in Hadley v. Baxendale to survive. But whether a plaintiff must pass any other tests (independent cause of action or otherwise) to get such damages, is a more difficult question. I find it hard to discuss that last question in the abstract. It may well depend on the facts or type of case.

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