Revenue Quebec ordered to pay $2 million in punitive damages

A Montreal businessman who was forced to shut down his business after Quebec tax authorities mishandled his case was awarded nearly $4 million, including a staggering $2 million in punitive damages, following a precedent-setting ruling by Quebec Superior Court.

In an extremely harsh judgment that sheds light on Revenue Quebec’s tax collection policies and questions its administrative practices, Justice Steve Reimnitz held that the provincial tax agency abused its powers, acted maliciously and in bad faith, and exhibited unjustified and blameworthy administrative doggedness in the way it handled the tax file of Groupe Enico Inc. and its founder Jean-Yves Archambault. The comprehensive 197-page ruling in Groupe Enico inc. c. Agence du revenu du Québec 2013 QCCS 5189 details a series of bizarre and improbable events, triggered by a dishonest auditor,  that has been likened by Quebec tax lawyers to an absurd “horror story” that “was bound to happen.”

“There have not been many decisions that have been rendered by the courts where Revenue Quebec has been sued for damages,” pointed out Alexandre Dufresne, a Montreal tax lawyer and managing partner of Spiegel Sohmer. “Not only that, Revenue Quebec lost and the damages were very substantial so in that sense it is a very important decision. The judgment outlines what I would call a horror story – it really was an abusive audit.”

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6 Replies to “Revenue Quebec ordered to pay $2 million in punitive damages”

  1. White paper published and is a template to sue the Quebec Tax Department. Family Court Inc. by William Levy

  2. Ici au Québec, on a beaucoup de pénuries de mains d’oeuvre au Québec et on se demande si les fonctionnaires de Revenue Québec seraient impliqués dans tout cela pour abus de pouvoir. On s’en prend même à de simples citoyens, des assistés sociaux qui essaient de se sortir de la pauvreté dans laquelle ont les soummet. Les nouveaux travailleurs finnissent par se décourager au point de s’autoexclure du marché du travail. Ça devient très dangereux pour notre système économique qui, pour faute de mains d’oeuvre, bon nombre d’entreprises sont contraintes de fermer leur porte. Devrait-on abolir Revenu Québec. Voilà la Question.

  3. Dear Luis Millan,

    The Enico case is an extremely important one for our on-going litigation against the CRA on misfeasance. Is there an English version anywhere that you know of? Our trial will resume on July 2nd and run for another eight days. And do you have a sense of where this case will be going?
    Thank You!

    Ellyn Foote

  4. Bravo. Excellent litigation.
    But there is even more to come.
    May/June 2014 there will be a White Paper published on this very topic, based on 20 years of court/ case/ individual document gathering, called Family Court Inc, by William Levy. It is an unpleasant/ uncomfortable journey revealing names of actual government agents, legalists and justices, who by evidence used what can only be called ‘thuggery’ on civilians, bypassing all norms of constitutional rights and the rule of law. For more information:

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