306804 Nova Scotia Ltd. v. 3064755 Nova Scotia Ltd.

306804 Nova Scotia Ltd. v. 3064755 Nova Scotia Ltd.

The written promissory note created a joint obligation of 3064755 and 3082516 to pay 3064804; the part payment in February 2006 did not prevent default and the acceleration clause rendered the entire unpaid balance due; after accounting for subsequent $750 monthly payments by 3064755 the outstanding debt was $20,500; claims for unjust enrichment, successor liability and piercing the corporate veil were dismissed; costs of $604.50 awarded to claimant.

Citation
2007 NSSM 7
Parties
Claimant: 3064804 Nova Scotia Limited; Defendant: 3064755 Nova Scotia Limited; Defendant: 3082516 Nova Scotia Limited; Defendant: Jeanne Desveaux; Defendant: The Law Practice of Jeanne Desveaux Inc.
Court
Nova Scotia Small Claims Court
Jurisdiction
Canada
Judgment Date
29 January 2007
Procedural Posture
Small Claims Court / Decision After Hearing
Outcome
Claim allowed in part. Judgment against Defendants 3064755 Nova Scotia Limited and 3082516 Nova Scotia Limited for $20,500; other claims dismissed; costs awarded $604.50; total judgment $21,104.50.
Legal Topics
Promissory Note, Acceleration Clause, Joint and Several Liability, Piercing the Corporate Veil, Unjust Enrichment, Implied Terms, Costs
Source Language
English
Contract Law Corporate Law Equity Civil Procedure Commercial Law Promissory Note Acceleration Clause Joint and Several Liability +4 more

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Legal principles 4 Authorities cited 13 Party arguments 2 Amounts and remedies 4
Sign in to unlock

Parties

3064804 Nova Scotia Limited

Claimant

3064755 Nova Scotia Limited

Defendant

3082516 Nova Scotia Limited

Defendant

Jeanne Desveaux

Defendant

The Law Practice of Jeanne Desveaux Inc.

Defendant

Procedural Posture

Small Claims Court / Decision After Hearing

Legal Issues

  1. 1 Whether the promissory note created joint, several, or joint and several liability between the purchasing companies
  2. 2 Whether default triggered the acceleration clause making the entire unpaid balance due
  3. 3 Whether the court should pierce the corporate veil to hold an individual or successor corporation liable

Ratio Decidendi

The written promissory note created a joint obligation of 3064755 and 3082516 to pay 3064804; the part payment in February 2006 did not prevent default and the acceleration clause rendered the entire unpaid balance due; after accounting for subsequent $750 monthly payments by 3064755 the outstanding debt was $20,500; claims for unjust enrichment, successor liability and piercing the corporate veil were dismissed; costs of $604.50 awarded to claimant.

Court Disposition

Claim allowed in part. Judgment against Defendants 3064755 Nova Scotia Limited and 3082516 Nova Scotia Limited for $20,500; other claims dismissed; costs awarded $604.50; total judgment $21,104.50.

Orders

  • Defendants 3064755 Nova Scotia Limited and 3082516 Nova Scotia Limited to pay Claimant 3064804 Nova Scotia Limited debt of $20,500.00
  • Defendants to pay costs of $604.50