The defendants appealed a Master's order compelling them to produce audited financial statements and income tax documentation during discovery.
The underlying action involved claims for wrongful dismissal, unpaid wages, and oppression, including claims against the directors under the Employment Standards Act and the Ontario Business Corporations Act.
The defendants argued that discovery regarding director liability was premature until corporate liability was established and execution returned unsatisfied.
The Superior Court dismissed the appeal, holding that the statutory preconditions for director liability do not restrict an employee's right to prosecute the litigation and obtain discovery.
