Hawrish v. Bank of Montreal

Hawrish v. Bank of Montreal

The contemporaneous oral agreement that purported to discharge the guarantor conflicted with the express terms of the written continuing guarantee and was therefore inadmissible; the written guarantee governed and the appeal must be dismissed.

Citation
[1969] SCR 515
Parties
Appellant Guarantor: Andrew Hawrish; Respondent Plaintiff: Bank of Montreal
Court
Supreme Court of Canada
Jurisdiction
Canada
Judgment Date
28 January 1969
Procedural Posture
Contract Guarantee/collection / Appeal to Supreme Court of Canada From Court of Appeal for Saskatchewan; Final Judgment
Outcome
Appeal dismissed
Legal Topics
Guarantee, Continuing Guarantee, Parol Evidence Rule, Collateral Contract, Discharge of Guarantor
Source Language
English

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Parties

Andrew Hawrish

Appellant Guarantor

Bank of Montreal

Respondent Plaintiff

Procedural Posture

Contract Guarantee/collection / Appeal to Supreme Court of Canada From Court of Appeal for Saskatchewan; Final Judgment

  1. 1 Whether contemporaneous oral agreement can vary or discharge a written continuing guarantee
  2. 2 Whether parol evidence of a collateral oral agreement is admissible when it contradicts the written instrument
  3. 3 Whether the guarantee operated as an escrow or was immediately effective

Ratio Decidendi

The contemporaneous oral agreement that purported to discharge the guarantor conflicted with the express terms of the written continuing guarantee and was therefore inadmissible; the written guarantee governed and the appeal must be dismissed.

Court Disposition

Appeal dismissed

Orders

  • Appeal dismissed with costs