B.B.J. Enterprises Ltd. v. Wendy's Restaurants of Canada Inc

B.B.J. Enterprises Ltd. v. Wendy's Restaurants of Canada Inc

The Release was procured in unconscionable circumstances — it was not part of prior negotiations, was presented at the last minute to a financially desperate vendor, and produced an immoderate and unfair gain for Wendy's — therefore the Release does not bar the plaintiff's action.

Source-derived case information.

Citation
2004 NSSC 37
Parties
Plaintiff / Respondent: B.B.J. Enterprises Limited; Plaintiff / Respondent: B. Yazer Holdings Limited; Plaintiff / Respondent: Brendon Yazer; Plaintiff / Respondent: Beverly Niven Yazer; Defendant / Applicant: Wendy's Restaurants of Canada Inc.; Defendant / Applicant: Wendy's International Inc.
Court
Supreme Court of Nova Scotia
Jurisdiction
Canada
Judgment Date
18 February 2004
Procedural Posture
Contract Dispute Validity of Release / Application to Determine Validity of Release (pre Trial Hearing)
Outcome
Release declared unconscionable and not a bar to the current action; plaintiff awarded costs.
Legal Topics
Unconscionability, Release of Claims, Rescission, Entire Agreement Clause, Estoppel (procedural Issue Reserved)
Source Language
english
Contract Law Equity Commercial Law Franchise Law Unconscionability Release of Claims Rescission Entire Agreement Clause +1 more

Source-derived case record

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Legal principles 3 Authorities cited 8 Party arguments 2 Amounts and remedies 8
Sign in to unlock

Parties

B.B.J. Enterprises Limited

Plaintiff / Respondent

B. Yazer Holdings Limited

Plaintiff / Respondent

Brendon Yazer

Plaintiff / Respondent

Beverly Niven Yazer

Plaintiff / Respondent

Wendy's Restaurants of Canada Inc.

Defendant / Applicant

Wendy's International Inc.

Defendant / Applicant

Procedural Posture

Contract Dispute Validity of Release / Application to Determine Validity of Release (pre Trial Hearing)

Legal Issues

  1. 1 Whether the Release executed at closing bars the plaintiff's subsequent action
  2. 2 Whether the Release was procured under unconscionable circumstances and should be set aside

Ratio Decidendi

The Release was procured in unconscionable circumstances — it was not part of prior negotiations, was presented at the last minute to a financially desperate vendor, and produced an immoderate and unfair gain for Wendy's — therefore the Release does not bar the plaintiff's action.

Court Disposition

Release declared unconscionable and not a bar to the current action; plaintiff awarded costs.

Orders

  • Release found unconscionable and does not bar the current action against Wendy's Restaurants of Canada Inc. and Wendy's International Inc.
  • Plaintiff awarded costs in the amount of $1,500.00 payable forthwith.