What is the test for terminating an agent or broker?
Ontario, Canada
The following excerpt is from Prosser v. Naziri, 2005 CanLII 37352 (ON SC):
This fourfold test has been enlarged by the more recent “organizational test”. This second classification scheme was approved and applied by Spence J. in Co-operators Insurance Association v. Kearney (1964), 1964 CanLII 21 (SCC), 48 D.L.R. (2d) 1 (S.C.C.). The organizational test involves determining whether the worker was a necessary and integral part of the business. If so, the agent or broker may be treated in a similar manner as an employee with respect to obligations to provide notice upon termination.
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