In what circumstances will a court more readily pierce the corporate veil in the case of fraud or improper conduct?

Ontario, Canada


The following excerpt is from Tarion Warranty v 1518162 Ontario Inc. et al., 2015 ONSC 6532 (CanLII):

Tarion submits that a court will more readily pierce the corporate veil in the case of fraud or improper conduct when doing so will prevent an innocent third party from suffering damages as a result of the wrongdoer shielding himself with incorporation: Kosmopoulos v. Constitution Insurance Co of Canada, 1987 CanLII 75 (SCC), [1987] 1 S.C.R. 2 at para. 13.

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