The appellants appealed a Small Claims Court decision finding the individual appellant personally liable for a breach of contract regarding kitchen cabinetry work.
The trial judge had found that the contract was with the corporate appellant, but held the individual appellant personally liable because the corporate name was misspelled on the contract and the individual had claimed for the balance of the contract in his own name in a cross-claim.
The Divisional Court granted the appeal, holding that the trial judge erred in law by piercing the corporate veil without evidence of fraudulent or improper conduct, and by drawing an improper inference from the pleadings that contradicted his own factual findings.
