The applicant, Harry Littler, a director of CMC Credit Ltd., sought an order compelling the respondents to provide access to CMC’s books and records, including loan agreements.
The respondent, Michael Smith, objected on the basis of privacy legislation (PIPEDA) and alleged improper purpose.
The court found that directors have an unconditional statutory right to inspect corporate records under the Ontario Business Corporations Act, and that PIPEDA does not prevent such access.
The application was granted, and costs were fixed in favour of the applicant.