Russo v. Field

Russo v. Field

On the facts the Court held that selling and servicing wigs was an integral and usual part of the hairdresser and beauty salon business; the landlord's covenant not to permit another store to carry on that business was thereby breached by leasing to the Fields; registration of the Russo lease notice under The Land Titles Act gave statutory notice of the lease contents to subsequent tenants; damages awarded at trial were retained but no injunction was ordered because the competing business was discontinued on appeal.

Citation
[1973] SCR 466
Parties
Plaintiffs/appellants: Mario Russo and Aldo Russo; Defendant/respondent: Henry Field; Defendants/respondents: Ann Field and Menat Construction Limited
Court
Supreme Court of Canada
Jurisdiction
Canada
Judgment Date
31 January 1973
Procedural Posture
Lease Dispute (landlord and Tenant) / Appeal to Supreme Court of Canada From Court of Appeal for Ontario
Outcome
Appeal allowed
Legal Topics
Restrictive Covenants, Notice Under Land Titles Act, Constructive/actual Notice, Registration of Lease Notice, Injunction and Damages
Source Language
English
Property Landlord and Tenant Real Property Equity Statutory Interpretation Restrictive Covenants Notice Under Land Titles Act Constructive/actual Notice +2 more

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Parties

Mario Russo and Aldo Russo

Plaintiffs/appellants

Henry Field

Defendant/respondent

Ann Field and Menat Construction Limited

Defendants/respondents

Procedural Posture

Lease Dispute (landlord and Tenant) / Appeal to Supreme Court of Canada From Court of Appeal for Ontario

Legal Issues

  1. 1 Whether leasing adjacent premises for manufacture/retail/servicing of wigs breached landlord's covenant not to permit competing hairdresser/beauty salon
  2. 2 Whether subsequent tenant had notice of the plaintiffs' lease and its restrictive covenant by registration under The Land Titles Act
  3. 3 Whether sale and servicing of wigs is an integral part of the hairdresser and beauty salon business

Ratio Decidendi

On the facts the Court held that selling and servicing wigs was an integral and usual part of the hairdresser and beauty salon business; the landlord's covenant not to permit another store to carry on that business was thereby breached by leasing to the Fields; registration of the Russo lease notice under The Land Titles Act gave statutory notice of the lease contents to subsequent tenants; damages awarded at trial were retained but no injunction was ordered because the competing business was discontinued on appeal.

Court Disposition

Appeal allowed

Orders

  • Appeal allowed with costs
  • Plaintiffs may retain trial judgment awarding $2,000 in damages against Menat Construction Limited and Ann Field