City of Saint John v. Irving Pulp & Paper Limited

City of Saint John v. Irving Pulp & Paper Limited

Section 70 (formerly s.55) of the Assessment Act did not transfer to the Assessment Department the broad power to make special agreements for large industrial water supplies under s.5 of the 1914 Act; s.5 was preserved by the saving clause and Common Council resolutions of October 17, 1957 and October 8, 1958...

Source-derived case information.

Citation
[1963] SCR 213
Parties
Plaintiff Appellant: City of Saint John; Defendant Respondent: Irving Pulp & Paper Limited
Court
Supreme Court of Canada
Jurisdiction
Canada
Judgment Date
13 March 1963
Procedural Posture
Contract / Appeal to Supreme Court of Canada From the Appeal Division of the Supreme Court of New Brunswick
Outcome
Appeal dismissed
Legal Topics
Validity of Municipal Agreements, Delegation of Municipal Powers, Rate Setting for Utilities, Implied Repeal and Saving Clauses, Authority of Municipal Departments
Source Language
english
Municipal Law Contract Law Statutory Interpretation Administrative Law Public Utilities Validity of Municipal Agreements Delegation of Municipal Powers Rate Setting for Utilities +2 more

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Parties

City of Saint John

Plaintiff Appellant

Irving Pulp & Paper Limited

Defendant Respondent

Procedural Posture

Contract / Appeal to Supreme Court of Canada From the Appeal Division of the Supreme Court of New Brunswick

Legal Issues

  1. 1 Whether the City had legal authority to enter the 1958 water supply agreement
  2. 2 Whether s.70 (s.55) of the Saint John City Assessment Act transferred power to make water supply agreements to the Assessment Department and thereby impliedly repealed s.5 of the 1914 Act
  3. 3 Whether s.5 of the 1914 Act precluded the City from entering into a contract despite stating a resolution is not a contract

Ratio Decidendi

Section 70 (formerly s.55) of the Assessment Act did not transfer to the Assessment Department the broad power to make special agreements for large industrial water supplies under s.5 of the 1914 Act; s.5 was preserved by the saving clause and Common Council resolutions of October 17, 1957 and October 8, 1958 satisfied s.5, so the City was bound by the rates fixed for the 25‑year period and could not increase them; therefore the agreement was valid and the City's appeal failed.

Court Disposition

Appeal dismissed

Orders

  • Appeal dismissed with costs
  • Judgment of Appeal Division of the Supreme Court of New Brunswick affirmed