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COURT OF APPEAL FOR ONTARIO

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Page: 43<br />

Strategic Property had used Combined Air to service the HVAC needs in its portfolio of<br />

ten buildings.<br />

[85] In January 2008, Flesch was hired by CRSC. CRSC is in the business of<br />

designing, building and maintaining customized computer and IT infrastructure facilities.<br />

CRSC was also a client of Combined Air prior to the acquisition and often retained<br />

Combined Air as a subcontractor for the HVAC work on its computer room projects.<br />

[86] After Flesch began working with Strategic Property, Aharonian noticed a decrease<br />

in service calls from Strategic Property and advised Flesch via email that he was holding<br />

Flesch responsible. Aharonian‟s concern was magnified when Flesch joined CRSC. In<br />

November 2008, CRSC decided to go with a lower-priced HVAC subcontractor on a<br />

Hydro One project in Barrie. Shortly thereafter, Combined Air commenced this action<br />

alleging, inter alia, that Flesch and Searle had breached their fiduciary duties as senior<br />

employees, and had committed the torts of conversion, misrepresentation and unlawful<br />

interference.<br />

3. Motion for Summary Judgment<br />

[87] Flesch brought a motion for summary judgment arguing that there was no basis for<br />

any of these allegations. Searle took the same position. Following the exchange of<br />

affidavits and cross-examinations of witnesses for the summary judgment motion,<br />

Combined Air amended the statement of claim to include allegations that Flesch had

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