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Piercing the Corporate Veil, Personal Liability of Directors in Employment Contracts
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September 2015

Piercing the Corporate Veil, Personal Liability of Directors in Employment Contracts

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In its recent decision, Mainieri v Kajotec Inc. et al., the Superior Court of Justice awarded an employee $25000 in damages after finding that he was induced to enter into an employment contract as a result of fraudulent misrepresentation by the corporation’s sole director, Joel Kaleu. FACTS Prior to hiring Mr. Mainieri, Kaleu informed the Plaintiff that his company was operating in the eco-products industry and selling various products listed on a website with corresponding patent numbers. Based on these representations, the Plaintiff entered into a six-month employment contract with a $30,000 salary. Shortly after, the Plaintiff found that Kajotec…

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