Perreault Limitée v. Tessier

The seller was entitled to treat the buyer's continuing failure to pay as a breach permitting termination of the contract for the balance and to recover the price for goods delivered; a party in default under a synallagmatic contract cannot recover damages for breach by the other party.

Citation: [1958] SCR 698
Parties: Defendant/appellant: Leo Perrault Ltée; Plaintiff/respondent: Georges Tessier
Court: Supreme Court of Canada
Jurisdiction: Canada
Judgment Date: 19 November 1958
Procedural Posture: Appeal Sale of Goods Contract / Final Appeal to Supreme Court of Canada
Outcome: Appeal dismissed
Legal Topics: Determined Quantity, Refusal to Pay, Anticipatory Breach, Non Adimpleti Contractus, Cancellation of Contract, Compensation/set Off
Source Language: English

Contract Sale of Goods Quebec Civil Law Remedies Determined Quantity Refusal to Pay Anticipatory Breach Non Adimpleti Contractus +2 more

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Full judgment text Legal principles 2 Authorities cited 5 Party arguments 2 Amounts and remedies 4

Parties

Leo Perrault Ltée

Defendant/appellant

Georges Tessier

Plaintiff/respondent

Procedural Posture

Appeal Sale of Goods Contract / Final Appeal to Supreme Court of Canada

Legal Issues

1 Whether seller's letter of Sept 16 constituted a definitive refusal to deliver remaining lumber
2 Whether buyer's withholding payment in anticipation of breach justified non-payment and claim for damages
3 Whether seller could treat buyer's non-payment as terminating the contract for the balance and sue for price

Ratio Decidendi

Court Disposition

Appeal dismissed

Orders

Appeal dismissed with costs
Trial judgment maintained: action for $5,582.93 for lumber sold and delivered allowed; appellant's cross-demand for $12,000 dismissed