Ponga said:
Due to the uncertainty and the need for a straight answer, this seems to be a good reason to make the investment in getting proper legal advice, post haste!
Unfortunately just because someone is a lawyer, does not always mean they have the right answer. There have been countless cases on this forum where applicant's lawyers have given them completely wrong info on a wide variety of topics. And just like a call centre agent... you can't use the excuse that someone gave you wrong info. The applicant is always responsible and is the only one that faces any consequences. So honestly i don't think a lawyer will help whatsoever here.
From the post i linked to above, there are other instances where letters from CIC stated this:
To a lawyer: http://www.canadavisa.com/canada-immigration-discussion-board/apply-inland-after-iec-expire-keep-working-and-now-aip-refuse-t163087.0.html;msg2532689#msg2532689
The call centre agent told me that as a result of my query, there will be a change in the wording of CIC's statement that holders of IEC open work permits do not benefit from implied status.
To the applicant: http://www.canadavisa.com/canada-immigration-discussion-board/apply-inland-after-iec-expire-keep-working-and-now-aip-refuse-t163087.0.html;msg2530930#msg2530930
your current work permit obtained through IEC cannot be extended, nor can you apply beyond the validity period originally authorized as per your letter of Introduction. The work permit implied status not apply to you
So again, many people work on expired IECs thinking they have implied status, and from what we know hardly any are actually investigated and most don't have any problems. But it is a basic fact that some do get caught. Its really up to the individual if they think the risk they would get investigated as doing something illegal, is worth it.