Executive Summary: Key Legal and Evidentiary Issues

• The plaintiff claimed $23,675.65 for recruitment services provided under a commercial contract for a hired construction superintendent.

• The defendant argued that the candidate was unqualified and only worked 16 days, invoking a contractual replacement guarantee.

• The Court determined the candidate was properly referred and that the recruitment agency fulfilled its contractual obligation.

• Evidence showed that the defendant made the hiring decision voluntarily after interviews and failed to pay the invoice on time.

• The Court found that the guarantee of replacement clause became inapplicable due to the defendant’s non-payment.

• The plaintiff was awarded the full claim, with interest and additional indemnity under Quebec civil law.

Facts and procedural history

Performance Recruitment inc. is a professional recruitment agency that entered into a service agreement with Groupe Pentian, a company seeking to hire a construction site superintendent. The parties signed a contract on September 14, 2020, stipulating that Performance would receive 18% of the hired candidate’s annual salary, and that a 180-day replacement guarantee would apply, provided the fee was paid within 30 days of invoicing.

Performance referred several candidates to Pentian. After conducting interviews, Pentian hired François Courtemanche, who started work on March 1, 2021. Performance invoiced Pentian the same day for $23,675.65. However, Pentian terminated Courtemanche’s employment just 16 days later, claiming he was not fit for the role. Pentian then refused to pay the invoice and argued that Performance failed to provide qualified candidates or honour the replacement guarantee. Performance sued for the invoiced amount.

Legal analysis and decision

The Court had to determine whether Performance was entitled to the amount claimed, and whether the defendant’s allegations affected its obligation to pay. The Court found that Performance fulfilled its obligation of means, not of result, under articles 2098 and 2100 of the Civil Code of Québec. Pentian had interviewed Courtemanche and made the final hiring decision freely.

The Court also clarified that the guarantee clause was conditional: it only applied if the invoice was paid within 30 days. Since Pentian did not pay by the deadline, it lost the benefit of the replacement guarantee. Although Performance attempted to provide alternative candidates after the termination, the guarantee had become inoperative once the invoice went unpaid.

The Court rejected Pentian’s argument that the contract was breached due to the candidate’s lack of competence, noting that no evidence supported that Performance had failed in its duty to inform or advise.

Conclusion

The Court granted the full claim. Groupe Pentian was ordered to pay $23,675.65 to Performance Recruitment inc., with legal interest from July 1, 2021, and an additional indemnity under article 1619 of the Civil Code of Québec, plus court costs. The case underscores the enforceability of commercial service agreements and the consequences of failing to honour payment obligations tied to contractual guarantees.