Ontario Severance

Tar Heel Investments Inc. v. H.L. Staebler Company Limited

2022 ONCA 842 (CanLII)Court of Appeal for OntarioDecided

Insurance Broker's Book of Business and Tort of Conversion

Summary

This was an appeal to the Court of Appeal from a trial judge's decision in an action over an insurance broker's departure and transfer of client books to a new employer. The employer sued the broker and her new brokerage for conversion, breach of fiduciary duty, and other torts when she sold her client books to the new firm. The trial judge found she owned one book but not another, and awarded damages for conversion of the second book, declining to rule on the other claims. The Court of Appeal allowed the appeal and the employer's cross-appeal, finding the trial judge erred in his analysis of ownership and conversion of intangible property, and ordered a new trial on all causes of action.

Outcome

appeal allowed; cross-appeal allowed; new trial ordered

Key Factors

  • conversion of intangible property
  • ownership of a book of business
  • failure to rule on alternative causes of action
  • nature of employee vs independent contractor relationship

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More Ontario employment decisions from 2022

This summary was written by AI from the published decision and its headnote. It is not an official version of the decision; read the full text on CanLII before relying on it. This is legal information, not legal advice. Ontario Severance is an educational tool. If you are facing a serious employment law matter, consult with a qualified employment lawyer in Ontario.