Is the corporate veil pierced when the company is incorporated for the wrong purpose?
Ontario, Canada
The following excerpt is from Whitaker v. Ellerby Properties Inc., 2002 CanLII 17417 (ON SC):
In the case of 642947 Ontario Limited v. Fleischer (2002) 56 O.R. (3d) 416, Mr. Justice Laskin at paragraph 68 wrote: Typically, the corporate veil is pierced when the company is incorporated for an illegal, fraudulent or improper purpose. But it can also be pierced if when incorporated "those in control expressly direct a wrongful thing to be done".
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