This action arose from a dispute between two individuals, Bateni and Jamali, concerning the acquisition and ownership of a Chrysler Canada car dealership.
Bateni claimed damages for breach of contract, breach of fiduciary duty, diversion of corporate opportunities, oppression under the Business Corporations Act, and wrongful dismissal.
The court found that an oral agreement existed between Bateni and Jamali for Bateni to acquire a 20% ownership interest in a new dealership (Caledon Hills) through "sweat equity" and serve as general manager.
Jamali breached this agreement by causing the initial dealership application (Caledon Hills LOI) to be rescinded due to an ownership dispute with a third partner (Totonchian), and then unilaterally applying for the dealership under a new entity (Caledon Chrysler) without Bateni.
The court also found Jamali's actions to be oppressive and unfairly prejudicial to Bateni's interests.
Furthermore, Bateni was found to have been wrongfully dismissed from Caledon Chrysler.