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A group of former directors and officers with Look Communications Inc., locked in a court battle with the company over $15.5-million the group received in extra payments, do not deserve to have the company cover their legal bills up front, the Ontario Court of Appeal has ruled.
A group of former directors and officers with Look Communications Inc., locked in a court battle with the company over $15.5-million the group received in extra payments, do not deserve to have the company cover their legal bills up front, the Ontario Court of Appeal has ruled.
(PhotoDisc)

GOVERNANCE

Directors of Look on the hook for legal fees, court rules

A group of former directors and officers with Look Communications Inc., locked in a court battle with the company over $15.5-million the group received in extra payments, do not deserve to have the company cover their legal bills up front, the Ontario Court of Appeal has ruled.

The case was being watched closely by some on Bay Street who warned it could have implications for directors at public companies across Canada, most of whom expect most legal costs arising from their seats on the board to be covered up in advance.