The appellant episcopal corporation appealed a finding of direct liability for sexual assaults committed by a parish priest over two decades.
The respondents cross-appealed, arguing the corporation was also vicariously liable.
The Supreme Court of Canada dismissed the appeal, confirming the corporation was directly liable because the bishop's failure to properly direct and discipline the priest constituted negligence by the corporation.
The Court also held the corporation vicariously liable, finding a sufficiently close relationship between the diocesan enterprise and the priest, and a strong connection between the employer-created risk and the wrongful acts.