Breckenridge Speedway Ltd. et al. v. R.

Breckenridge Speedway Ltd. et al. v. R.

Even if The Treasury Branches Act was ultra vires, plaintiffs who received and retained Crown funds are liable in restitution (money had and received) and cannot defeat the Crown’s claim by pleading ultra vires; transfers made in accordance with Alberta conveyancing law passed title and, as found, the leased-back transfers constituted security rather than part payment, so the Crown/Provincial Treasurer was entitled to recover the moneys advanced and hold or account for the properties accordingly.

Citation
[1970] SCR 175
Parties
Appellant/plaintiff: Breckenridge Speedway Ltd.; Appellant/plaintiff: Twin Town Motors Ltd.; Appellant/plaintiff: Oscar Green; Appellant/plaintiff: Irene Janet Green; Appellant/plaintiff: Green’s Garage (firm); Respondent/defendant: Her Majesty The Queen in Right of Alberta; Intervenant: The Attorney General of Canada
Court
Supreme Court of Canada
Jurisdiction
Canada
Judgment Date
21 October 1969
Procedural Posture
Appeal / On Appeal to the Supreme Court of Canada (appeal and Cross Appeal From Alberta Appellate Division)
Outcome
Appeal and cross-appeal dismissed (majority); Appellate Division judgment affirmed with variations; part dissent by Hall and Spence JJ.
Legal Topics
Ultra Vires, Money Had and Received, Provincial Treasury Branches, Security Versus Part Payment, Royal Prerogative
Source Language
English
Constitutional Law Property Law Restitution (equitable Remedies) Banking Law Ultra Vires Money Had and Received Provincial Treasury Branches Security Versus Part Payment +1 more

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Parties

Breckenridge Speedway Ltd.

Appellant/plaintiff

Twin Town Motors Ltd.

Appellant/plaintiff

Oscar Green

Appellant/plaintiff

Irene Janet Green

Appellant/plaintiff

Green’s Garage (firm)

Appellant/plaintiff

Her Majesty The Queen in Right of Alberta

Respondent/defendant

The Attorney General of Canada

Intervenant

Procedural Posture

Appeal / On Appeal to the Supreme Court of Canada (appeal and Cross Appeal From Alberta Appellate Division)

Legal Issues

  1. 1 Whether The Treasury Branches Act, R.S.A. 1955, c. 344, is ultra vires of the Province as legislation in relation to banking
  2. 2 Whether borrowers may rely on a plea of ultra vires as a defence to a claim for repayment of moneys advanced by a provincial treasury branch
  3. 3 Whether transfers of property were part payments or security for indebtedness

Ratio Decidendi

Even if The Treasury Branches Act was ultra vires, plaintiffs who received and retained Crown funds are liable in restitution (money had and received) and cannot defeat the Crown’s claim by pleading ultra vires; transfers made in accordance with Alberta conveyancing law passed title and, as found, the leased-back transfers constituted security rather than part payment, so the Crown/Provincial Treasurer was entitled to recover the moneys advanced and hold or account for the properties accordingly.

Court Disposition

Appeal and cross-appeal dismissed (majority); Appellate Division judgment affirmed with variations; part dissent by Hall and Spence JJ.

Orders

  • Appeal dismissed
  • Cross-appeal dismissed