Premium Weatherstripping Inc. v. Ghassemi

Premium Weatherstripping Inc. v. Ghassemi

On the balance of probabilities the Court found that Ghassemi actively participated in and facilitated Karamali's thefts of PWS product, both defendants were liable for conversion, the plaintiff proved the value of the stolen goods ($162,112) and was entitled to prejudgment interest and punitive damages ($30,000), and the employer had cause to dismiss Ghassemi so his wrongful dismissal counterclaim fails; defendants must account and plaintiff has leave to seek tracing/constructive trust remedies.

Citation
2017 BCSC 2191
Parties
Plaintiff (defendant by Counterclaim): Premium Weatherstripping Inc.; Defendant by Counterclaim: Fardin Panahandeh; Defendant (plaintiff by Counterclaim): Hossein Ghassemi; Defendant: Hossein Karamali
Court
Supreme Court of British Columbia
Jurisdiction
Canada
Judgment Date
30 November 2017
Procedural Posture
Civil Conversion, Breach of Fiduciary Duty, Wrongful Dismissal / Trial Judgment (reasons for Judgment)
Outcome
Judgment for plaintiff Premium Weatherstripping Inc.; counterclaim for wrongful dismissal dismissed.
Legal Topics
Conversion, Breach of Fiduciary Duty, Wrongful Dismissal, Punitive Damages, Constructive Trust, Tracing
Source Language
English
Tort Law Corporate Law Employment Law Equity and Trusts Commercial Law Conversion Breach of Fiduciary Duty Wrongful Dismissal +3 more

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Parties

Premium Weatherstripping Inc.

Plaintiff (defendant by Counterclaim)

Fardin Panahandeh

Defendant by Counterclaim

Hossein Ghassemi

Defendant (plaintiff by Counterclaim)

Hossein Karamali

Defendant

Procedural Posture

Civil Conversion, Breach of Fiduciary Duty, Wrongful Dismissal / Trial Judgment (reasons for Judgment)

Legal Issues

  1. 1 Whether defendants converted and sold plaintiff's inventory
  2. 2 Whether defendant Ghassemi breached fiduciary duties as director and general manager
  3. 3 Whether punitive damages are warranted

Ratio Decidendi

On the balance of probabilities the Court found that Ghassemi actively participated in and facilitated Karamali's thefts of PWS product, both defendants were liable for conversion, the plaintiff proved the value of the stolen goods ($162,112) and was entitled to prejudgment interest and punitive damages ($30,000), and the employer had cause to dismiss Ghassemi so his wrongful dismissal counterclaim fails; defendants must account and plaintiff has leave to seek tracing/constructive trust remedies.

Court Disposition

Judgment for plaintiff Premium Weatherstripping Inc.; counterclaim for wrongful dismissal dismissed.

Orders

  • Award compensatory damages to Premium Weatherstripping Inc. in the amount of $162,112 plus prejudgment interest
  • Award punitive damages of $30,000 against both defendants, jointly and severally