Canada Judgment

Supreme Court of Canada

Stroll's Inc. v. The Queen

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Source document

01

Holding and result

The Supreme Court dismissed the appeal because the Court of Appeal had thoroughly examined the evidence and correctly concluded the fire caused only slight damage and did not render the premises unusable; therefore the lease was not dissolved and the respondent was entitled to the rent awarded.

Court disposition

Appeal dismissed

Orders

  • Appeal dismissed with costs
  • Judgment of the Court of Queen's Bench, Appeal Side, Quebec maintaining respondent's principal action for $2,100 and incidental demand for $8,400 is upheld

02

Material facts

Parties

Stroll's Inc.

Appellant Counsel: Gilles Godin, Q.C.

Dame Lily Gorn

Respondent Counsel: H. L. Aronovitch, Q.C.

Amounts and remedies

  • Monthly Rent: CAD 700
  • Principal Action Awarded: CAD 2,100
  • Incidental Demand Awarded: CAD 8,400
  • Proportion Awarded to Cross Plaintiff: CAD 470.8

03

Procedural history

  1. Posture

    Lease Action for Rent / Appeal to Supreme Court of Canada From Court of Queen's Bench, Appeal Side, Quebec

04

Questions and positions

Legal issues

Party arguments

Applicant
Appellant claimed that a fire in an adjoining building rendered the leased premises unusable and that the lease was therefore dissolved de plein droit, absolving it from liability for rent.
Respondent
Respondent maintained that the damage to the appellant's premises was slight, that the premises remained usable and the lease remained in force, and that the appellant was liable for the rent; the Court of Appeal accepted this and awarded rent.

05

Court’s reasoning

  1. 01

    Lease doctrine / parties' submissions in this case

    A lease may be dissolved if premises are rendered unusable by damage such as a fire (principle relied on by appellant)

  2. 02

    Supreme Court of Canada reasoning in Stroll's Inc. v. The Queen, [1966] S.C.R. 653

    An appellate court will uphold factual conclusions where a thorough examination of the evidence supports them; deference is given to properly reasoned appellate findings

06

Ratio, limits and disposition

Ratio decidendi

The Supreme Court dismissed the appeal because the Court of Appeal had thoroughly examined the evidence and correctly concluded the fire caused only slight damage and did not render the premises unusable; therefore the lease was not dissolved and the respondent was entitled to the rent awarded.

Obiter and limits

  • The trial judge's annulment of the lease was reversed by the Court of Appeal and that conclusion was sustained.
  • The case illustrates that claims of automatic dissolution of lease require clear proof that premises are unusable and that appellate courts will sustain findings supported by the evidence.

Court disposition

Appeal dismissed

  • Appeal dismissed with costs
  • Judgment of the Court of Queen's Bench, Appeal Side, Quebec maintaining respondent's principal action for $2,100 and incidental demand for $8,400 is upheld

Source and reliance status

Supreme Court of Canada · 28 June 1966

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Judgment text

The complete available source text.

Source document

Supreme Court of Canada

Judgment· 28 June 1966

[1966] SCR 653

Stroll's Inc. v. The Queen Collection Supreme Court Judgments Date 1966-06-28 Report [1966] SCR 653 Judges Taschereau, Robert; Fauteux, Joseph Honoré Gérald; Abbott, Douglas Charles; Judson, Wilfred; Ritchie, Roland Almon On appeal from Quebec Subjects Lease Decision Content Supreme Court of Canada Stroll's Inc. v. The Queen, [1966] S.C.R. 653 Date: 1966-06-28 Stroll's Inc. (Defendant) Appellant; and Dame Lily Gorn (Plaintiff) Respondent. 1966: June 1; 1966: June 28. Present: Taschereau C.J. and Fauteux, Abbott, Judson and Ritchie JJ. ON APPEAL FROM THE COURT OF QUEEN'S BENCH, APPEAL SIDE, PROVINCE OF QUEBEC Lease and hire—Action for rental of store—Leased premises damaged by fire in adjoining building—Cross—demand in resiliation of lease. The defendant company leased premises from the plaintiff for a term of five years at a rental of $700 per month payable in advance. Some two years, later, a fire occurred in the adjoining premises, also owned by the plaintiff. The evidence revealed that the damages to the premises occupied by the defendant were slight. However, the defendant alleged that the premises were unusable and asked for the dissolution of the lease. The plaintiff sued for the rental. The trial judge dismissed the action and annulled the lease. This judgment was reversed by the Court of Appeal. The defendant company appealed to this Court. Held: The appeal should be

dismissed. The Court of Appeal had made a thorough examination of the evidence and its conclusions were supported. Louage—Action pour le loyer d'un magasin—Local loué endommagé par un incendie dans un édifice contigu—Demande reconventionnelle pour faire résilier le bail. La compagnie défenderesse a loué de la demanderesse un local pour un terme de cinq ans à un loyer de $700 par mois payable d'avance. Quelque deux ans plus tard, un incendie s'est déclaré dans un édifice contigu appartenant aussi à la demanderesse. La preuve a révélé que les dommages occasionnés au local occupé par la compagnie défenderesse étaient minimes. Cependant, la défenderesse a allégué que les lieux loués étaient inutilisables et a demandé I'annulation du bail. La demanderesse a poursuivi pour le loyer. Le juge au procès a rejeté l'action et a annulé le bail. Ce jugement fut renversé par la Cour d'appel. La compagnie défenderesse en appela devant cette Cour. Arrêt: L'appel doit être rejeté. La Cour d'appel a fait un examen complet de la preuve et ses conclusions étaient supportées. APPEL d'un jugement de la Cour du banc de la reine, province de Québec[1], renversant un jugement du Juge Jean. Appel rejeté. APPEAL from a judgment of the Court of Queen's Bench, Appeal Side, province of Quebec[2], reversing a judgment of Jean J. Appeal dismissed. Gilles Godin, Q.C., for the defendant, appellant. H. L.

Aronovitch, Q.C., for the plaintiff, respondent. The judgment of the Court was delivered by THE CHIEF JUSTICE:—This is an appeal from a judgment of the Court of Queen's Bench1 maintaining respondent's principal action in the amount of $2,100, as well as the incidental demand in the amount of $8,400. The principal action was for rent for the months of May, June, July and August 1962 and the incidental demand was for rent for the months of September 1962 to August 1963 inclusive. Mr. Justice Jean, who heard the case at trial, dismissed the principal action and the incidental demand with costs. As to the cross-demand, he annulled the lease entered into by the parties on December 31, 1959, and condemned the cross-defendant to pay to Stroll's Inc., the cross-plaintiff, the sum of $470.80, which is the proportion of the rent from January after the fire which occurred. On December 31, 1959, the respondent, Dame Lily Gorn, leased to the appellant a store bearing civic number 77 St. Catherine St. East, in the City of Montreal. This lease was for a term of five years commencing May 1, 1960, and the rent was $700 per month payable in advance. On January 10, 1962, a fire occurred in adjoining premises belonging also to the respondent, but the evidence reveals that the damages were slight in the appellant's store. The appellant alleged that the premises leased were completely "inutilisable"

and that this called necessarily for the dissolution of the lease "de plein droit". Mr. Justice Hyde, of the Court of Appeal, with whom Mr. Justice Owen and Mr. Justice Badeaux concurred, made a thorough examination of the evidence and I entirely agree with his appreciation of all the circumstances of this case, and with the conclusions he has arrived at. I would dismiss the appeal with costs throughout. Appeal dismissed with costs. Attorneys for the defendant, appellant: Chaussé, Godin, Deschênes, Melançon & Prat, Montreal. Attorneys for the plaintiff, respondent: chait, Aronovitch, Klein, Salomon, Gelber & Bronstein, Montreal. [1] [1965] Que. Q.B. 994. [2] [1965] Que. Q.B. 994.

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Authorities

Authorities used by the court

Cases, legislation, regulations, and constitutional provisions identified in the available record.

[1965] Que. Q.B. 994

Case cited

Stroll's Inc. v. The Queen, [1966] S.C.R. 653

Case cited

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