Court cites ‘pattern of ongoing concealment’ by former managing director

A British Columbia company whose former managing director secretly signed an agreement with a competitor was unsuccessful in its bid to stop him from doing business with clients until trial.

Justice Coval of the BC Supreme Court dismissed AFX Mixing & Pumping Technologies' application for a second injunction against Shaune McKinon despite finding he breached his fiduciary duties through a pattern of concealment.

McKinon served as AFX's managing director and sole Canadian director from 2014 until his employment ended March 8, 2025. He was removed as director on April 8, 2025.

Unknown to AFX, he had signed an agreement with Mixtec North America, AFX's primary global competitor, on March 20, 2025 while still serving as director.

Email account database

Before departing, McKinon instructed AFX's IT contractor to export his entire email account database and a copy of AFX's entire server.

The Mixtec agreement contemplated Macworx, McKinon's family company, "providing Mixtec with the same services, for the same products, in the same territory as Mr. McKinon's role with AFX."

Macworx was to be paid a monthly retainer of US$6,000 plus commissions. Documents from Mixtec revealed negotiations began in mid-December 2024, and McKinon sent AFX copyrighted technical plans for client Cru Brewing Systems to Mixtec on March 23, 2025.

McKinon initially claimed Mixtec contacted him after leaving AFX and they...

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