FavoriteLoadingSave to briefcase | Rating: | By (2012)

  • PrintEmail Link
  • Viewed 229 times | Saved to 364 briefcases
Metropolitan Commercial Carpet Centre Ltd v Donovan (1989), 91 NSR (2d) 99 (NS TD)

Ratio:

General rule: Directors and Officers can leave a corporation and subsequently do competing business.

The common law protects the right to apply one’s skills and pursue professions
** you have the right to put your skills to the best possible use

Comments:

The general rule is subject to exceptions:
** 1. Competition not permissible when fiduciary relationship subsists - Re Thomson (1930)
** 2. Fiduciary cannot use opportunities acquired from position as a fiduciary to compete - Canadian Aero v O’Malley (1974)
** 3. Former fiduciary cannot compete by soliciting business from corporation
** 4. Former fiduciary cannot use confidential information for personal benefit - Pizza Pizza v Gillespie (1990)


Leave a Comment

You must be logged in to participate.

This document is a general discussion of certain legal and related issues and must not be relied upon as legal advice. This document may not have been written or reviewed by a legal practitioner. For more information, please see the website Terms of Service.