Nelson v. Viktoria Granite & Marble Ltd. et al. 2012 SKPC 16
Company Law - Nature of corporations - Lifting the corporate veil - Fraudulent conduct, conversion or conveyance by company officers or employees
The plaintiffs sued for the return of monies they paid to Viktoria Granite & Marble Ltd. for granite countertops which they never received. The monies were deposited into the account of a numbered company. Mr. Cyr was the sole director of both companies. His wife, Mrs. Cyr, was a shareholder and director of Viktoria Granite when the first quote was given to the plaintiffs. Thereafter, she continued to be involved with its operation. Following the trial, the defence conceded judgment against both companies. The plaintiffs argued that the court should pierce the corporate veil and find the Cyrs personally liable, that being their only hope for collection.
The Saskatchewan Provincial Court found that the Cyrs had engaged in fraudulent conduct and granted judgment against them personally.