Court File and Parties

COURT FILE NO.: CV-22- 00685086 DATE: 20220906

SUPERIOR COURT OF JUSTICE - ONTARIO

RE: ABDORREZA DEHGHANI and FARZANEH HEIDARIAN, Plaintiffs – and – SHAHIN MEHDIZADEH TOURZANI and AVALANCHE AUTO INC., Defendants

BEFORE: Justice E.M. Morgan

COUNSEL: Jeffrey Klein, for the Plaintiffs Shahin Tourzani, on his own behalf

HEARD: September 6, 2022

MOTION TO ENFORCE INJUNCTION

[1] On August 12, 2022, I issued a Mareva injunction restraining the Defendants from selling, dissipating, and otherwise dealing with their assets. The claim alleges that the parties entered into a partnership to run an automobile dealership, but that the Defendants have taken the Plaintiff’s investment funds and have not transferred the Plaintiffs their interest in the business.

[2] In issuing the injunction, I allowed the Defendants to apply on 24 hours’ notice for an Order granting them sufficient funds for ordinary living expenses and legal advice and representation. The Defendants have never brough such an application.

[3] The Plaintiffs have now presented evidence that the Defendants are engaged in selling off assets contrary to the Order of August 12, 2022. The affidavit of Amir Lavasani, who is apparently a mutual acquaintance of the Plaintiff Dehghani’s and the Defendant Tourzani’s, describes Mr. Tourzani selling him a Honda Civic. According to the uncontested evidence of Mr. Lavasani, Mr. Tourzani uses Carview Motors Inc., an automobile dealership whose principal is Hossein Samari, as a venue - or, more accurately, a front – for the sales. It is unclear what the relationship is between Mr. Tourzani and Mr. Samari, except that Mr. Samari appears to be working as Mr. Tourzani’s agent in making the sales and effecting the transfers.

[4] Mr. Dehghani has also sworn an affidavit in which he describes his visit to Carview Motors Inc. where he spoke with Mr. Samari. In a recorded conversation, Mr. Samari explained that Mr. Tourzani has transferred most of the assets that were in his own name and in the name of the Defendant Avalanche Auto Inc. to third parties. Mr. Samari stated that Mr. Tourzani pays him to act as his agent in order to sell cars on Mr. Tourzani’s behalf.

[5] The injunction Order was served personally on Mr. Tourzani on August 15, 2022. It was also sent by email to Carview Motors Inc. on August 17, 2022 and a follow-up by courier on August 18, 2022.

[6] Mr. Tourzani appeared in person at today’s Zoom hearing and stated that he has retained Sean Bahmadi as his lawyer to represent him in this action. He confirmed that I can send a copy of this endorsement to Mr. Bahmadi as his representative. Mr. Tourzani also told me that he spoke with Mr. Bahmadi briefly about this case 5 or 6 days ago, but that Mr. Bahmadi did not explain to him the terms of the Mareva Order.

[7] Plaintiff’s counsel, Jeffrey Klein, has also spoken with Mr. Bahmadi, who has introduced himself as the lawyer that will be representing the Defendants. Mr. Bahmadi has yet to serve a Notice of Appearance or to formally go on record by filing anything with the court.

[8] Mr. Bahmadi did, however, ask his legal assistant, Adytya Choudhary, to appear at today’s hearing to request an adjournment. Mr. Chourdhary explains that Mr. Bahmadi is in another court hearing today and is therefore unable to attend. Mr. Klein indicated that this information was only relayed to him yesterday, and that it took him by surprise as Mr. Bahmadi was aware of today’s court date last week when the two of them spoke but said nothing at the time about a scheduling conflict.

[9] Frankly, what takes me by surprise is that a lawyer who is retained by a client under a Mareva injunction, who already has been served with a motion for contempt for allegedly transferring his assets, would not immediately explain to the client the meaning of that type of Order and the consequences of its breach. However, that appears to be the case. Mr. Tourzani, whose knowledge of the English language is only partial, confirmed to me at the hearing that Mr. Bahmadi did not discuss with him the terms of the Order upon being retained to defend him.

[10] I am hesitant to make a finding of contempt of court without any responding materials being filed on Mr. Tourzani’s behalf. That said, I am not impressed with Mr. Tourzani’s conduct in the face of the injunction Order, and I am inclined to say that this is his final warning. Breach of an injunction can carry serious consequences if it does not stop right away.

[11] I have explained to Mr. Tourzani, and will reiterate here, that the meaning of the Order of August 12, 2022 is that he is not to sell, spend, or dispense with any of his assets, including automobiles, cash, etc. He is also not to deal with any of his assets, or with any property in which he has an interest, through any agents or intermediaries, including through Mr. Samari.

[12] In all respects, the Order of August 12, 2022 remains in force until further order of the court. That includes the requirement that Mr. Tourzani bring his own motion, with at least 24 hours notice to the Plaintiffs, if he needs to free up any of his assets for his use.

[13] Mr. Tourzani, either through Mr. Bahmadi or otherwise, is to provide Mr. Klein with responding materials within one month of today. Cross-examinations in this motion are to take place within one month thereafter.

[14] The motion is adjourned to February 15, 2023 for two hours. It will be peremptory on Mr. Tourzani, which means that he will not be in a position to ask for yet another adjournment.

[15] I will leave the costs of today to the judge hearing the matter on February 15^th.

Date: September 6, 2022 Morgan J.