RBC Scandal: Nadine Ahn’s $49 Million Lawsuit and What It Means for Workplace Relationships in Canada

In March 2024, an anonymous tip alleged Ahn and Mason were seen together at Toronto’s Royal York Hotel — and that Mason’s rapid promotions and pay increases stemmed from their relationship.

An internal probe by outside counsel at a Canadian law firm reportedly uncovered thousands of messages, meeting notes, and what investigators described as romantic gestures, such as a personalized LoveBook gift and “liquidity meetings” over drinks (Toronto Life).

By April 5, both Ahn and Mason were terminated for cause, accused of breaching RBC’s Code of Conduct by failing to disclose a “close personal relationship.”

RBC’s Response and Transparency Push

RBC’s public statement naming Ahn was unusual. The bank claimed it needed to protect stakeholder trust and emphasize accountability.

Employment lawyer Lior Samfiru, national co-managing partner at Samfiru Tumarkin LLP, told HR Reporter that financial institutions often take this route to maintain credibility:

“If the organization feels it acted properly, it can send a strong message that this behaviour won’t be tolerated — especially in a highly regulated environment.” (HR Reporter)

Ahn Fights Back: The $48.9 Million Claim

Ahn responded with a lawsuit seeking $48.9 million in damages for wrongful dismissal, defamation, and reputational harm.

Her claim alleges that:

• The investigation was biased and procedurally flawed
• She was ambushed in a meeting without legal counsel present
• RBC misinterpreted personal messages and violated her privacy
• Gender stereotyping played a role — arguing male executives aren’t punished for similar friendships

Mason filed his own lawsuit the same day, claiming he was made an example of to “project moral righteousness.”

• See Also: RBC Layoffs

What Canadian Employment Law Says

Romantic or personal relationships at work aren’t illegal in Canada.

Our guide on Workplace Relationships in Canada explains that employees can date co-workers — but disclosure and policy compliance are key to avoiding conflicts of interest.

From a legal perspective:

• Termination for cause requires serious misconduct — not just breach of policy
• Wrongful dismissal claims arise when someone is fired without proper severance pay
• Executives have fiduciary duties, so undisclosed relationships are scrutinized more closely

A Toronto employment lawyer at Samfiru Tumarkin LLP told CTV News that transparency is the best defence:

“Every employer should have a policy about romantic relationships in the office. Step one is disclosure — deal with it honestly and openly.”

Corporate Surveillance and Gender Double Standards

The Ahn–Mason case also exposed two troubling trends in corporate culture:

1. Privacy vs. Oversight: RBC reportedly reviewed over a decade of personal messages — a reminder that company devices and emails are rarely private
2. Gender Bias: Critics say female executives face harsher judgment for personal connections. As Ahn’s lawsuit notes, male leaders with similar friendships were not disciplined (Toronto Life)

Comparisons to Other High-Profile Cases

The RBC controversy echoes other corporate scandals involving power imbalances and consensual relationships — including the Steve Easterbrook case at McDonald’s. Like RBC, McDonald’s terminated its CEO for violating company policy — and the case sparked global conversation about how companies balance privacy, ethics, and public accountability.

It also mirrors the situation of John Tory, former mayor of Toronto, who resigned after admitting to a relationship with a former staffer. Tory called it a “serious error in judgement” and stepped down from office amid concerns about the power dynamic and standards of conduct in a workplace setting (John Tory Affair).

More recently, a viral Coldplay concert scandal pushed the same issue into pop culture. A tech CEO and his head of HR were caught on a stadium jumbotron in what appeared to be a romantic moment, prompting both to resign after their identities were revealed. The company confirmed an internal investigation, and the incident became a case study in how undisclosed relationships — even outside the office — can damage reputations, careers, and corporate credibility overnight.

Lessons for Employers and Employees

• Disclose relationships early. Transparency reduces risk of conflict claims.
• Implement clear policies. Employers should outline what counts as a “close personal relationship.” (See our guide on Workplace Relationship Policies in Canada).
• Avoid favoritism. Even the perception of preferential treatment can lead to discipline.
• Seek legal advice before signing anything. If you’re facing termination or investigation, speak with an employment lawyer immediately.

Speak to an Employment Lawyer Today

If you’ve been fired for a workplace relationship, accused of misconduct, or denied severance, the experienced team at Samfiru Tumarkin LLP can help.

We have secured millions for non-unionized employees across Canada through wrongful dismissal and severance claims.

Our team has:

• 👥 Successfully represented 50,000+ Canadians
• 💰 Secured millions in severance payouts
• ⚖️ Settled over 99% of cases out of court
• 📱 Free Termination Consultations — in some, but not all, cases
• ⭐ Earned 3,000+ 5-star Google reviews
• 🏆 Named on of Canada’s Best Law Firms

Call 1-855-821-5900 or request a consultation online.