Anderson, Smyth & Kelly Customs Brokers Ltd. v. World Wide Customs Brokers Ltd. et al., (1993) 143 A.R. 215 (QB)

• Judge: Moshansky, J.
• Court: Court of Queen's Bench of Alberta (Canada)
• Case Date: August 19, 1993
• Citations: (1993), 143 A.R. 215 (QB)

Anderson, Smyth v. World Wide (1993), 143 A.R. 215 (QB)

MLB headnote and full text

Anderson, Smyth & Kelly Customs Brokers Ltd. (plaintiff) v. World Wide Customs Brokers Ltd. and Peter Kelly (defendants)

(Action No. 8901-15327)

Indexed As: Anderson, Smyth & Kelly Customs Brokers Ltd. v. World Wide Customs Brokers Ltd. et al.

Alberta Court of Queen's Bench

Judicial District of Calgary

Moshansky, J.

August 19, 1993.

Summary:

The plaintiff sued the defendants for dam­ages for breach of fiduciary duties.

The Alberta Court of Queen's Bench dis­missed the plaintiff's action.

Equity - Topic 3646

Fiduciary relationships - Breach of - By director of company - Kelly was a shareholder, director and employee of the plain­tiff customs brokerage firm - Kelly sold his shares and left his job, going to work for the defendant customs brokerage firm - Kelly thereafter contacted his former clients - Several of his clients followed him to the new firm - The Alberta Court of Queen's Bench held that there was no breach of fiduciary obligations by Kelly, either as a director or a key employee of the plaintiff - The court noted, inter alia, that Kelly made no solicitations of clients before he left the plaintiff, he did not take customer lists and many of the clients would have followed Kelly in any event - See paragraphs 1 to 48.

Equity - Topic 3726

Fiduciary relationships - The employer-employee relationship - Duty of employee after termination - [See Equity - Topic 3646 ].

Cases Noticed:

Regal (Hastings) Ltd. v. Gulliver, [1942] 1 All E.R. 378 (H.L.), refd to. [para. 32].

Canadian Aero Service Ltd. v. O'Malley (1973), 40 D.L.R.(3d) 371 (S.C.C.), refd to. [para. 32].

Abbey Glen Property Corp. v. Stumborg (1978), 9 A.R. 234; 4 B.L.R. 113 (C.A.), refd to. [para. 35].

Mercury Marine Ltd. v. Dillon (1986), 30 D.L.R.(4th) 627 (Ont. H.C.), refd to. [para. 39].

Alberts (Edgar T.) Ltd. v. Mountjoy (1977), 16 O.R.(2d) 682 (H.C.), refd to. [para. 39].

Quantum Management Services Ltd. v. Hann et al. (1989), 43 B.L.R. 93 (Ont. H.C.), refd to. [para. 39].

Bendix Home Systems Ltd. v. Clayton, [1977] 5 W.W.R. 10 (B.C.S.C.), refd to. [para. 40].

Reed Stenhouse Ltd. v. Foster et al. (1989), 98 A.R. 49 (Q.B.), refd to. [para. 40].

Tree Savers International Ltd. et al. v. Savoy et al. (1992), 120 A.R. 368; 8 W.A.C. 368; 84 Alta. L.R.(2d) 384 (C.A.), refd to. [para. 40].

Metropolitan Commercial Carpet Centre Ltd. v. Donovan and Donovan (B.) Interiors Ltd. (1989), 91 N.S.R.(2d) 99; 270 A.P.R. 99 (T.D.), refd to. [para. 40].

Bonar Inc. v. Smith, [1991] B.C.J. No. 53, refd to. [para. 40].

Kronick v. Lamarche-Craven, [1991] O.J. No. 907, refd to. [para. 40].

Christie (W.J.) & Co. v. Greer and Sussex Realty & Insurance Agency Ltd. (1981), 9 Man.R.(2d) 269; 121 D.L.R.(3d) 472 (C.A.), refd to. [para. 43].

EJ Personnel Services Inc. v. Quality Personnel Inc. (1986), 6 C.P.R.(3d) 173 (Ont. H.C.), refd to. [para. 44].

Authors and Works Noticed:

Ellis, M.V., Fiduciary Duties in Canada (1988), pp. 15-20 [para. 36].

Counsel:

Domenic Venturo and J.E. Meehan, for the plaintiff;

Scott D. Saville and R. Brickard Ratcliffe, for the defendants.

This case was heard before Moshansky, J., of the Alberta Court of Queen's Bench, Judicial District of Calgary, who delivered the following judgment on August 19, 1993.