By CRM staff
Toronto, Ontario — February 7, 2019 — Edmonton-based auto dealership group, AutoCanada Inc.has started taking legal actions against their former CEO and chairman of the company, and his holding companies which includes, Canada One Auto Group Ltd.
AutoCanada claims that Patrick Priestner breached his fiduciary and other duties to the company by appropriating corporate opportunities of AutoCanada to acquire dealerships privately through Canada One Auto Group Ltd. and his other holding companies.
Priestner served as the CEO for AutoCanada from 2006 to 2014 and then went onto executive chairman for two years.
He denies the claims and says that while working at AutoCanada he disclosed dealership acquisitions that the company could not buy because of restrictions by certain manufacturers on public companies owning dealerships. He says the acquisitions were specifically authorized by AutoCanada’s board of directors as in the best interest of the company.
The remedies sought by AutoCanada from the Ontario Superior Court of Justice include an accounting of profits, damages and the declaration of constructive trust over the dealerships acquired by the defendants resulting from Mr. Priestner’s wrongful conduct.
