Peter G. Voith

The respondents licensed their trademark and secret formula for 'Clamato' juice to a licensee, who subsequently sub-contracted manufacturing to the appellants.

After the respondents terminated the licence, the licensee and appellants used the confidential information to develop a competing clam-free product, 'Caesar Cocktail', which they brought to market immediately.

The Supreme Court of Canada held that the appellants were liable for breach of confidence but vacated the permanent injunction granted by the Court of Appeal due to the respondents' delay and the 'nothing very special' nature of the information.

Instead, the Court ordered financial compensation limited to the 12-month 'head start' period the appellants gained by misusing the confidential information.

The respondent logging company obtained an interim injunction prohibiting named defendants and 'John Doe, Jane Doe and Persons Unknown' from blocking roads to its logging operations.

The appellants, environmental protesters, appealed the order, arguing that courts lack jurisdiction to grant injunctions against non-parties or the general public in private civil litigation.

The Supreme Court of Canada dismissed the appeal, holding that courts of inherent jurisdiction have the power to make orders binding on non-parties to protect private rights from mass obstruction.

Non-parties who violate such orders with notice may be found guilty of contempt of court.

The appellant airlines challenged the application of British Columbia's Social Service Tax Act to their aircraft and parts, as well as to in-flight sales of alcoholic beverages.

The Supreme Court of Canada held that the Act, properly construed, did not apply to aircraft and parts brought into the province temporarily for interprovincial flights.

The Court also held that in-flight liquor sales lacked sufficient presence in the province to attract the tax.

Furthermore, the Court ruled that Air Canada could recover the taxes unlawfully collected on its aircraft and parts, despite being paid under a mistake of law, but could not recover the taxes collected from passengers for liquor sales, as it acted merely as a tax collector.

The airlines sought to recover gasoline taxes paid to British Columbia between 1974 and 1976 under a statute that was ultra vires because it imposed an indirect tax.

The province amended the statute in 1976 to make it a valid direct tax, and in 1981 enacted retroactive legislation to impose the valid tax for the 1974-1976 period and confiscate the invalidly collected taxes.

The Supreme Court of Canada held that the 1976 and 1981 amendments were constitutionally valid.

The Court also held that, as a general rule, taxes paid under an unconstitutional statute are not recoverable, rejecting the application of restitutionary principles in this context due to public policy concerns about fiscal chaos.