If an employer closes their business or refuses to pay after you win a Human Rights Tribunal of Ontario (HRTO) case, you must register the decision with the Superior Court of Justice or Small Claims Court to enforce it. From there, you may be able to garnish bank accounts or pursue the corporate directors personally for unpaid damages.
Winning a case at the HRTO feels like a massive victory, providing validation after enduring severe workplace discrimination. However, that victory can quickly turn incredibly sour if your former employer simply ignores the tribunal’s order to pay you. Worse yet, some unethical business owners will dissolve their corporation or declare bankruptcy to avoid paying.
The HRTO has the power to order compensation, but it does not have its own police force or collection agency to actually grab the money for you. 💰 Collecting your legally awarded funds from a defunct or stubborn corporation is entirely up to you and your legal team. This guide explains how to transition your human rights victory into a legally enforceable civil judgment.
Step-by-Step Process for Enforcing an Order in Ontario
Whether the business was a restaurant in Toronto, a logistics firm in Mississauga, or a retail chain in Ottawa, an HRTO order must be moved into the traditional civil court system before any sheriffs or collection actions can be authorized.
Step 1: Obtain Certified Copies of the Decision
First, it is important to note that HRTO decisions are final under section 45.8 of the Ontario Human Rights Code, and there is no direct right of appeal. 📅 Instead, parties have 30 days to either file a Request for Reconsideration with the Tribunal or apply to the Divisional Court for a Judicial Review under the Judicial Review Procedure Act. Once this 30-day timeline has expired and the employer has missed the payment deadline, contact the HRTO registrar to request a certified copy of your final order. You will need this physical proof.
Step 2: Register the Order with the Civil Court
You must take the certified HRTO order to the local courthouse. If the amount owed is $50,000 CAD or less, you will register it at the Small Claims Court (following the monetary limit increase effective October 1, 2025). If it is more than $50,000 CAD, you must register it with the Superior Court of Justice. Once registered, the tribunal order technically becomes a binding civil judgment.
Step 3: Conduct a Debtor Examination
If the company claims they have no money, you can force the business owner to attend a Debtor Examination under oath. 🔍 In this hearing, they must bring their corporate bank statements, tax filings, and asset lists. This allows you to find out exactly where their cash is hidden.
Step 4: Pursue Corporate Directors Personally
If the corporation is truly defunct and has no assets, all hope is not lost. Under the Ontario Business Corporations Act (OBCA), you may be able to pierce the corporate veil. If you named the directors personally in your original HRTO application for participating in the discrimination, they are personally liable to pay your damages.
Step 5: Garnish Accounts and Seize Assets
Once you know where the money is, you can file a Notice of Garnishment. 💳 The court can order the defunct business’s bank to freeze the account and send the remaining funds directly to you. Alternatively, you can hire a court enforcement office to seize corporate property and sell it at auction.
| Enforcement Method | How It Works | Best Used When |
|---|---|---|
| Bank Garnishment | Court orders the bank to redirect the company’s funds to you. | The company is closing down but still has cash in its operating account. |
| Director Liability | Pursuing the business owner’s personal savings or house. | The corporation is officially bankrupt, but the owner was personally named. |
| Writ of Seizure and Sale | Sheriff takes physical assets to auction. | The company has physical property but claims to have no liquid cash. |
How Much Does it Cost in Ontario?
Enforcing a judgment requires spending a little money to get your money. Here are the typical fees associated with forcing an employer to pay:
- Court Registration Fee: Registering an HRTO decision for enforcement in the Small Claims Court costs a flat fee of $45 CAD under O. Reg. 332/16 (with scheduled fee adjustments deferred to January 1, 2027, under O. Reg. 394/25).
- Garnishment & Enforcement Fees: Issuing or renewing a Notice of Garnishment costs a flat court fee of $144 CAD paid to the clerk. Having the Small Claims Court clerk issue a Writ of Seizure and Sale costs $68 CAD under O. Reg. 332/16, while filing (registering) the writ with the Sheriff’s office costs either $75 CAD (if not required to be delivered to a land registrar) or $100 CAD (if required to be delivered to a land registrar) under O. Reg. 294/92, plus $240 CAD per enforcement or seizure attempt by the Sheriff.
- Law Firm Fees: If you hire a professional to trace the assets and handle the enforcement, they may charge an hourly rate of $200 to $400 CAD.
How Long Does the Process Take?
Patience is absolutely essential during the collection phase. 🕘 A hostile employer can drag this out significantly:
- Registration: Converting the HRTO order into a civil judgment usually takes 2 to 4 weeks.
- Garnishment: Once a bank is served with a garnishment notice, they usually hold the funds and transfer them to the court within 30 to 45 days.
- Full Collection: If the company is actively hiding assets, collecting your funds could take 6 to 12 months, or unfortunately, it may become uncollectible.
Frequently Asked Questions (FAQ)
What happens if the company legally declares bankruptcy?
If the corporation files for formal bankruptcy under federal law, all civil enforcement actions stop immediately. You become an unsecured creditor and must file a claim with the bankruptcy trustee.
Can I put a lien on the business owner’s house?
Generally, you can only put a lien on a business owner’s personal property if the HRTO order specifically named them in their personal capacity, rather than just naming the corporation.
Will the Ministry of Labour collect my damages?
No. While the Ministry of Labour can help enforce orders for unpaid wages under the Employment Standards Act, they do not enforce general damages for discrimination awarded by the HRTO.
Can a collection agency help me?
Yes, once your HRTO order is registered as a court judgment, you can hire a private collection agency. They will aggressively pursue the debt, though they often charge a steep fee of 20% to 50% of whatever they collect.
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