Terra Farm Ltd. v. Park Stud Inc., 2010 ONCA 422, released this morning, gives a quick summary of when a court ought to pierce the corporate veil:
[34] The test for when a court may pierce the corporate veil of a one shareholder corporation requires not only that the shareholder controls the actions of the corporation but that that control is exercised to allow the corporation to be used for a fraudulent or improper purpose: see 642947 Ontario Ltd. v. Fleischer (2001), 56 O.R. (3d) 417 (C.A.), at paras. 67-68.
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