Webber v. Michels

Webber v. Michels

Claimants failed to prove breach or actionable misrepresentation because they had adequate opportunity for due diligence, the Defendant did not breach his contractual obligations in a manner that caused the business failure, and the Claimants effectively discharged the Defendant from restrictive covenants by terminating his employment; therefore the claim is dismissed.

Citation
2009 NSSM 30
Parties
Claimants: Dean Webber and Susan Webber; Defendant: Rudolf Michels
Court
Nova Scotia Small Claims Court
Jurisdiction
Canada
Judgment Date
10 July 2009
Procedural Posture
Small Claims Court / Decision
Outcome
Claim dismissed
Legal Topics
Breach of Contract, Misrepresentation, Non Compete Clause, Sale of Business, Damages, Due Diligence
Source Language
English
Contract Law Commercial Law Employment Law Breach of Contract Misrepresentation Non Compete Clause Sale of Business Damages +1 more

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Parties

Dean Webber and Susan Webber

Claimants

Rudolf Michels

Defendant

Procedural Posture

Small Claims Court / Decision

Legal Issues

  1. 1 Whether the Defendant breached the purchase agreement or made actionable misrepresentations
  2. 2 Whether the Defendant failed to introduce customers and suppliers or concealed supplier relationship problems
  3. 3 Whether the Defendant breached non-compete obligations

Ratio Decidendi

Claimants failed to prove breach or actionable misrepresentation because they had adequate opportunity for due diligence, the Defendant did not breach his contractual obligations in a manner that caused the business failure, and the Claimants effectively discharged the Defendant from restrictive covenants by terminating his employment; therefore the claim is dismissed.

Court Disposition

Claim dismissed

Orders

  • Action dismissed
  • No order for costs