Solutions Mindready R&D – Tax Court of Canada finds that decisive influence at the management level is sufficient to establish de facto control

Similarly to Lyrtech, Favreau J found that a supposed Canadian-controlled private corporation which carried on R&D for and at the direction of a public company and whose shares were held by a trust whose two trustees were key directors of the public company and whose beneficiaries were group companies, was controlled de facto by the public company. He stated that "a decisive economic role permitting a corporation to be in a position to impose its will on the management of the affairs of another corporation is sufficient to constitute control in fact."

Neal Armstrong. Summary of Solutions Mindready R&D Inc. v. The Queen, 2015 CCI 17 under s. 256(5.1).