Allen v. Perry Lake Developments Inc.

Allen v. Perry Lake Developments Inc.

The delays in obtaining power and final inspection were caused by Hurricane Fiona and Nova Scotia Power, not by fraud or actionable breach by the Defendant; the Claimants were not entitled to rescind or to damages because they suffered no proven loss and could have sought an extension; therefore the Claimants' claim is dismissed and the Defendant's counterclaim succeeds, entitling the Defendant to retain the deposit and recover assessed losses totalling $14,871.60.

Citation
2023 NSSM 31
Parties
Claimants: Mark Allen and Rachel Sullivan; Defendant: Perry Lake Developments Inc.
Court
Nova Scotia Small Claims Court
Jurisdiction
Canada
Judgment Date
14 July 2023
Procedural Posture
Small Claims / Decision
Outcome
Claim dismissed; Counterclaim allowed
Legal Topics
Rescission, Breach of Contract, Deposit Forfeiture, Damages, Occupancy Permit, Force Majeure
Source Language
English
Contract Property Construction Equitable Remedies Rescission Breach of Contract Deposit Forfeiture Damages +2 more

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Parties

Mark Allen and Rachel Sullivan

Claimants

Perry Lake Developments Inc.

Defendant

Procedural Posture

Small Claims / Decision

Legal Issues

  1. 1 Whether the Claimants were entitled to rescind the agreement for failure to obtain final inspection/occupancy permit by the last agreed closing date
  2. 2 Whether delays caused by Nova Scotia Power and Hurricane Fiona constituted a breach by the Defendant
  3. 3 Whether the Claimants suffered damages and were entitled to return of the deposit

Ratio Decidendi

The delays in obtaining power and final inspection were caused by Hurricane Fiona and Nova Scotia Power, not by fraud or actionable breach by the Defendant; the Claimants were not entitled to rescind or to damages because they suffered no proven loss and could have sought an extension; therefore the Claimants' claim is dismissed and the Defendant's counterclaim succeeds, entitling the Defendant to retain the deposit and recover assessed losses totalling $14,871.60.

Court Disposition

Claim dismissed; Counterclaim allowed

Orders

  • Claim dismissed.
  • Counterclaim allowed.