Groscki – Tax Court of Canada finds that a director was not liable for failure to obtain a s. 159(2) certificate before his corporation disposed of most of its assets

Bocock J appears to have found that a director was not a “legal representative” of a Macao-incorporated corporation that disposed of all of its inventory (being substantially all of its assets) without obtaining a s. 159(2) clearance certificate given inter alia that the director did not do a lot more than directors normally do and, in particular did not act as a liquidator given that there was no liquidation process authorized by the corporation nor any formal authority granted to him to act as a liquidator, de facto or otherwise.

Neal Armstrong. Summary of Groscki v. The Queen, 2017 TCC 249 under s. 159(3).