Bergez and wife guilty of contempt
July 03, 2010
Steve Buist
The Hamilton Spectator
(Jul 3, 2010)
The Great Glasses chain of eyewear stores has been placed in court-ordered receivership following seven years of flagrant disregard for the health regulations of Ontario.
Great Glasses founder Bruce Bergez and his wife, Joanne, have both been found guilty of criminal contempt of court, in addition to a further finding of civil contempt. The pair will find out Aug. 23 if they're headed to jail.
Ontario's Ministry of the Attorney General, College of Optometrists and College of Opticians are jointly recommending Bergez and his wife be imprisoned for two years and one year, respectively.
In a 95-page decision released yesterday, Ontario Superior Court Justice James Turnbull called the Bergezes' level of defiance of court orders "truly extraordinary."
"This case highlights the importance of the rule of law and its importance to our way of life in Canada," he said in his decision. "The alternative is chaos and loss of respect for the decisions of the court."
The judge categorically rejected all the arguments made by Bruce Bergez during a three-day hearing last week.
Judge Turnbull noted that not only have the Bergezes refused to comply with court orders since 2003, they increased the number of stores that were operating illegally.
"It is difficult to conceive of a more publicly defiant act than operating and even expanding a retail business, and then advertising that business, all contrary to court order," Turnbull said in his decision, noting this marks the fourth time the Bergezes have been found by a court to be operating illegally.
"These issues have been before the court continually since 2003 and there is absolutely no way the (Bergezes) were not aware that they were operating Great Glasses contrary to the law.
"All previous attempts by this court to coerce compliance have been ineffective," the judge added. "Compliance is no longer the goal."
Deloitte & Touche has been appointed receiver of the 20 Great Glasses stores listed in the court order.
Beginning Monday, the receiver is expected to begin removing the automated machines that have been used by Great Glasses stores to provide their so-called "free eye tests."
The receiver will also begin examining the financial affairs of the stores, as well as all computer records for each of the stores.
In addition, the Bergezes and all people associated with Great Glasses are obliged to inform the receiver about the existence of any related books, contracts, corporate and accounting records and computer records.
Fazal Khan, president of the College of Opticians of Ontario, said he's been told the receiver intends to ensure that all Great Glasses locations begin complying with provincial health regulations.
Ontario law requires glasses and contacts to be properly prescribed by an optometrist or physician and properly dispensed by an optician.
"This decision reinforces the integrity of the regulatory framework," Khan said, following release of the judge's decision. "I think this will re-establish faith in the profession."
The Great Glasses chain, with stores across southern Ontario, is widely known for its "3-for-1" business model, as well as the offer of a "free eye test" for customers with no appointment necessary.
Various court decisions have consistently found Bergez and the Great Glasses stores have been in violation of Ontario health legislation and those court decisions have been upheld all the way to Canada's Supreme Court.
In 2006, Bergez, his wife and their companies were found in contempt of a 2003 court order that requires Bergez and the Great Glasses stores to comply with Ontario legislation that governs the prescribing and dispensing of eyeglasses and contact lenses.
They were fined $1 million and a further $50,000 a day for every day since that they have not been in compliance. To date, the accumulated fines have passed $60 million.
There are no opticians employed at Great Glasses locations and the overwhelming majority of their customers don't have proper prescriptions when they enter the stores. Instead, they receive an eye examination conducted on a machine known as the Eyelogic system, which generates a printout that's used as the prescription to prepare the glasses.
Bergez has tried to suggest that because the Eyelogic machine was invented by an Alberta ophthalmologist, the printouts generated by the machine can be considered proper prescriptions from a physician -- a notion rejected completely by various courts.
Judge after judge has made note of what has been described as Bergez's "flagrant, protracted and deliberate disobedience."
Another judge found his conduct "highly provocative, arrogant and egregious."
It was only when Bergez was first faced with the threat of imprisonment in 2006 that he finally provided answers under oath to dozens of questions submitted by the College of Optometrists.
Some of those answers raised eyebrows and the occasional chuckle.
For instance, Bergez indicated the parent company of Great Glasses was owned by a mysterious figure named "Buster Kafer."
It was revealed in court that no such person seemed to exist and the name was simply an amalgamation of the name of Bergez's dog and his mother's maiden name.
Court heard the Great Glasses' franchise agreements had been signed by Buster Kafer, "which is astonishing," the College of Optometrists lawyer told court, "because I didn't know that dogs could write. I guess this one can."
Bergez was formerly an optician, but his registration to practice was suspended in 2006.
Calling him "ungovernable," the College of Opticians finally revoked his ability to practice as an optician in February of this year.
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