The appellants appealed a judgment declaring that the respondents had properly rescinded a franchise agreement pursuant to s. 6 of the Arthur Wishart Act.
The appellants argued that the respondents never became franchisees because the transaction did not close, and that the application judge improperly pierced the corporate veils.
The Court of Appeal dismissed the appeal, finding that the transaction had closed as all necessary documents were executed and the purchase price paid, and that the corporate appellants were essentially a single entity.