Clergue v. Murray

Clergue v. Murray

The appeal was dismissed because the agent (Simpson) had authority only to sell Mrs. Murray's interest for $585 net and any purported sale for a lesser sum was unauthorized; no binding contract was formed for the lower price, and because Simpson acted with a conflict of interest as solicitor for the purchaser specific performance could not be granted; any conveyance to Simpson was held for Mrs. Murray as trustee.

Citation
(1902) 32 SCR 450
Parties
Appellant (plaintiff): Bertrand J. Clergue; Appellant (plaintiff): The Lake Superior Power Company; Respondent (defendant): Elizabeth Murray; Respondent (defendant): David Murray
Court
Supreme Court of Canada
Jurisdiction
Canada
Judgment Date
27 May 1902
Procedural Posture
Sale of Land; Specific Performance; Vendor and Purchaser; Agency / Appeal to the Supreme Court of Canada From the Court of Appeal for Ontario
Outcome
Appeal dismissed with costs
Legal Topics
Specific Performance, Authority of Agent, Principal and Agent, Conflict of Interest of Solicitor Agent, Incumbrances and Net Proceeds, Trusts and Conveyance to Agent, Part Performance
Source Language
English
Property Contract Agency Equity Civil Procedure Specific Performance Authority of Agent Principal and Agent +4 more

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Parties

Bertrand J. Clergue

Appellant (plaintiff)

The Lake Superior Power Company

Appellant (plaintiff)

Elizabeth Murray

Respondent (defendant)

David Murray

Respondent (defendant)

Procedural Posture

Sale of Land; Specific Performance; Vendor and Purchaser; Agency / Appeal to the Supreme Court of Canada From the Court of Appeal for Ontario

Legal Issues

  1. 1 Whether the solicitor-agent had authority to sell the vendor's interest for less than $585 net
  2. 2 Whether a binding contract of sale was formed between the parties
  3. 3 Whether specific performance should be granted where the agent had a conflict acting for purchaser and vendor (solicitor acting for purchaser)

Ratio Decidendi

The appeal was dismissed because the agent (Simpson) had authority only to sell Mrs. Murray's interest for $585 net and any purported sale for a lesser sum was unauthorized; no binding contract was formed for the lower price, and because Simpson acted with a conflict of interest as solicitor for the purchaser specific performance could not be granted; any conveyance to Simpson was held for Mrs. Murray as trustee.

Court Disposition

Appeal dismissed with costs

Orders

  • Appeal dismissed with costs
  • Declaration that any conveyance to Simpson was for the benefit of Mrs. Murray and held by him as trustee