The win marks the 54-year-olds first triumph on the Senior Tour in five years on the circuit.
After having assumed the third-round lead with a beautiful 65 on Saturday, Hall knocked in two birdies against a bogey on a rain-plagued Sunday for a 70 and total score of 15-under-par 269.
The score was matched by Dougherty, who actually had it to 16-under entering the finishing par-4 18th in regulation, but overshot his approach into the green and missed a mid-range putt for par.
Despite his blemish, however, the 53-year-old veteran had closed in 65 and ended at 15-under himself.
His fortunes at No. 18 would resurface a short time later, however, when the two ensued upon their playoff.
Faced with 20-feet for par, and with Hall already having recorded a four, Dougherty missed the putt and the match was concluded.
For Hall, not only does he take his first win on the 50-and-older circuit, but he finally ends a streak of seconds.
In his time on the tour, the North Carolina resident had finished runner-up six times without victory.
Not any more, though ' his winners check of $240,000 is the largest of his career.
'I hung in there and scrambled my little fanny off,' said the champion. 'Fortunately, I got through it.'
The Senior Tours next stop is in Mason, Oh. and The Golf Center at Kings Island, for the $1.5 million Kroger Senior Classic.
Full-field scores from the AT&T Canada Senior Open Championship