Novels aren't automatically canon. Well you might want to familiarize yourself with official Star Wars canon rules set by Lucas Licensing: http://starwars.wikia.com/wiki/Canon...nuity_database
Video games and novels go under the same level of canon. So novels are no more canon than video games.
Side note: Oh that novel was written by Sean Williams. It explains all now. No wonder it is full of crap. Out of the four SWTOR era novels, his Fatal Alliance was by far the worse and filled with ridiculous stuff.