Buyers in Canada should review employment contracts, company policies, and any collective agreements, and confirm compliance with federal and provincial labour laws. Consulting with employment lawyers and requesting records of past terminations and severance payments helps ensure obligations are accurately identified and accounted for during due diligence.

Buyers in Canada should carefully review employment contracts, company policies, collective agreements (if any), and past termination records, and ideally consult an employment lawyer to verify severance obligations and termination rights. Doing this feels crucial because overlooking liabilities can turn a seemingly profitable deal into a financial headache, so thorough verification gives you confidence and peace of mind that you’re not inheriting unexpected costs or legal battles after the acquisition.

Buyers should carefully review employment contracts, collective agreements, and company policies to identify notice and severance terms. These should be cross-checked against provincial employment standards legislation to confirm statutory minimums. Engaging a local employment lawyer helps validate exposure and avoid costly post-closing surprises.