The Ministry of the Environment’s attempt to impose unlimited personal liability on the directors of a parent company, apparently because they were directors when historic contamination was discovered and/or being cleaned up on and near the land of a subsidiary, continues in front of the Environmental Review Tribunal. The Ministry has stated, in writing, that none of the former officers or directors caused the contamination.
On Tuesday, the Tribunal began hearing motions (see Baker Notice of Motion) by some former officers and directors of Northstar Aerospace (Canada), owner of the contaminated site, and some former officers and directors of its parent company, Northstar Aerospace Inc. The former officers and directors are seeking particulars of the Ministry’s case against them. Are they alleged to have been at fault in some way? If so, what is it that the Ministry says they did wrong? If their liability is alleged to be no-fault, what gives the ministry the right to impose a no-fault cleanup order on directors and officers of a parent company, who did nothing wrong personally, and whose company did not own or operate the contaminated site?
The motion will continue on May 27. The former officers and directors are appealing the cleanup order against them, saying that it is unconstitutional, issued without jurisdiction, and unfair. To see the Order, click Director’s order .