Commercial appeal arising from a bribery scheme that diverted a longstanding supply contract from the plaintiff to the corporate respondents.
The Court of Appeal held that the consultant and his company, although described by contract as independent contractors, functioned as integrated members of the corporate respondents' sales organization and therefore attracted vicarious liability under the organization test.
The court also held that the trial judge erred in refusing to re-open the trial after post-judgment affidavit evidence from the consultant implicated the principal officer in the bribery scheme, as the evidence was apparently credible and could not with reasonable diligence have been obtained earlier.
Judgment was granted against the corporate respondents for compensatory damages and prejudgment interest, punitive damages were not extended vicariously, and a new trial was ordered on the officer's personal liability.
