Webster v. Thomson

Webster v. Thomson

The motion judge erred by effectively deciding contested factual issues and requiring Webster to prove at the summary judgment stage that he could raise funds to exercise the option and prove damages; genuine issues remain (valuation under the contract, necessity to show means to purchase, and duty of good faith) and the claim must proceed to trial.

Citation
2008 ONCA 730
Parties
Appellant: George Webster; Appellant: George Webster as Estate Trustee of the Estate of Eleanor Webster; Respondent: David Thomson; Respondent: Peter Thomson; Respondent: Marilyn and John A. Tory as Estate Trustee of the Estate of Kenneth R. Thomson; Respondent: Thomson Works of Art Limited; Respondent: Lawrence Salander; Respondent: Salander-O’Reilly Galleries LLC; Respondent: John Doe
Court
Court of Appeal for Ontario
Jurisdiction
Canada
Judgment Date
27 October 2008
Procedural Posture
Civil / Appeal From Motion for Summary Judgment
Outcome
Appeal allowed; summary judgment set aside; action to proceed to trial
Legal Topics
Summary Judgment, Option to Purchase, Breach of Contract, Damages, Punitive Damages, Specific Performance, Valuation of Chattels, Duty of Good Faith
Source Language
English
Contract Law Civil Procedure Remedies Equity Summary Judgment Option to Purchase Breach of Contract Damages +4 more

Case Brief

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Parties

George Webster

Appellant

George Webster as Estate Trustee of the Estate of Eleanor Webster

Appellant

David Thomson

Respondent

Peter Thomson

Respondent

Marilyn and John A. Tory as Estate Trustee of the Estate of Kenneth R. Thomson

Respondent

Thomson Works of Art Limited

Respondent

Lawrence Salander

Respondent

Salander-O’Reilly Galleries LLC

Respondent

John Doe

Respondent

Procedural Posture

Civil / Appeal From Motion for Summary Judgment

Legal Issues

  1. 1 Whether the motion judge properly found no genuine issue for trial under Rule 20
  2. 2 Whether plaintiff was required at the summary judgment stage to prove ability to raise funds to exercise an option
  3. 3 Proper method for determining the option price under the parties' valuation procedure

Ratio Decidendi

The motion judge erred by effectively deciding contested factual issues and requiring Webster to prove at the summary judgment stage that he could raise funds to exercise the option and prove damages; genuine issues remain (valuation under the contract, necessity to show means to purchase, and duty of good faith) and the claim must proceed to trial.

Court Disposition

Appeal allowed; summary judgment set aside; action to proceed to trial

Orders

  • Set aside the judgment dismissing Webster's action
  • Dismiss the respondents' motion for summary judgment and order the case to proceed to trial