The plaintiff landlord brought a motion for summary judgment for rental arrears against the tenant, Nightingale HealtheNet Canada Corporation (NHCC), and its parent company, Nightingale Informatix Corporation (NIC).
The plaintiff argued that NIC was liable based on equitable assignment or part performance, as NIC had paid rent for NHCC for a period after NHCC became financially unviable.
The court granted summary judgment against NHCC but dismissed the claim against NIC, finding no written agreement, guarantee, or sufficient acts of part performance to bind the parent company to the lease obligations.
The court also declined to pierce the corporate veil.