Remer Bros. Investment Corporation c. Robin

Remer Bros. Investment Corporation c. Robin

Under Civil Code art. 1074 the defendant was liable for damages a prudent person could have foreseen; given uncontested expert evidence of nearby subdivision sales and market appreciation, the market (subdivision/speculative) value of the land at the time of breach was foreseeable and is the proper basis for damages—calculated as the difference between that market value ($78,750 per the majority of relevant market evidence at $450/arpent) and the contract price, resulting in damages of $47,750.

Citation
[1966] RCS 506
Parties
Appellant / Plaintiff: Remer Bros. Investment Corporation; Respondent / Defendant: Conrad Robin
Court
Supreme Court of Canada
Jurisdiction
Canada
Judgment Date
26 April 1966
Procedural Posture
Appeal / Hearing on Appeal to the Supreme Court of Canada Limited to the Quantum of Damages
Outcome
Appeal allowed; judgment of the lower courts modified only as to quantum of damages; defendant ordered to pay damages.
Legal Topics
Offer and Acceptance, Title Defects, Rescission, Quantum of Damages, Foreseeability
Source Language
French
Property Law Contract Law Civil Liability Damages Offer and Acceptance Title Defects Rescission Quantum of Damages +1 more

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Parties

Remer Bros. Investment Corporation

Appellant / Plaintiff

Conrad Robin

Respondent / Defendant

Procedural Posture

Appeal / Hearing on Appeal to the Supreme Court of Canada Limited to the Quantum of Damages

Legal Issues

  1. 1 Whether defendant was liable for nondelivery of clear title despite conditional acceptance reserving nullity if clear title could not be given
  2. 2 Whether the property's value should be assessed as agricultural land or on the basis of commercial/subdivision value (including speculation)
  3. 3 Whether the damages claimed were foreseeable at the time the contract was formed under Civil Code art.1074

Ratio Decidendi

Under Civil Code art. 1074 the defendant was liable for damages a prudent person could have foreseen; given uncontested expert evidence of nearby subdivision sales and market appreciation, the market (subdivision/speculative) value of the land at the time of breach was foreseeable and is the proper basis for damages—calculated as the difference between that market value ($78,750 per the majority of relevant market evidence at $450/arpent) and the contract price, resulting in damages of $47,750.

Court Disposition

Appeal allowed; judgment of the lower courts modified only as to quantum of damages; defendant ordered to pay damages.

Orders

  • Appeal allowed
  • Defendant Conrad Robin is ordered to pay damages of 47,750.00 CAD to Remer Bros. Investment Corporation