Shea v. McCarthy's Roofing Ltd.

Shea v. McCarthy's Roofing Ltd.

No contract existed; the defendant performed work but diminished value and the defendant allowed its lien rights to lapse and then used the stale lien to extract payment; given the improper use of the lien and the equitable factors, claimant should not be required to pay and the payment made under protest must be returned, with judgment for the payment and claim issuance costs.

Citation
2007 NSSM 53
Parties
Claimant: Glen Richard Shea; Defendant: McCARTHY’S ROOFING LTD.
Court
Nova Scotia Small Claims Court
Jurisdiction
Canada
Judgment Date
10 September 2007
Procedural Posture
Small Claims Court / Decision (adjudication After Hearing)
Outcome
Judgment for Claimant
Legal Topics
Builder's Lien Act, Quantum Meruit, Unjust Enrichment, Discharge of Lien, Damages, Expiry of Lien
Source Language
English
Contract Law Property Law Construction Law Civil Procedure Equity Builder's Lien Act Quantum Meruit Unjust Enrichment +3 more

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Parties

Glen Richard Shea

Claimant

McCARTHY’S ROOFING LTD.

Defendant

Procedural Posture

Small Claims Court / Decision (adjudication After Hearing)

Legal Issues

  1. 1 Whether a contract was formed between the parties
  2. 2 Whether the defendant is entitled to payment on a quantum meruit basis
  3. 3 Whether the registered builders lien remained enforceable given no action was commenced within statutory period

Ratio Decidendi

No contract existed; the defendant performed work but diminished value and the defendant allowed its lien rights to lapse and then used the stale lien to extract payment; given the improper use of the lien and the equitable factors, claimant should not be required to pay and the payment made under protest must be returned, with judgment for the payment and claim issuance costs.

Court Disposition

Judgment for Claimant

Orders

  • Defendant to pay Claimant $1,483.82 (refund of lien discharge payment)
  • Defendant to pay $85.44 costs of issuing the claim