Canada Case Law

Stubbs. v. White

Court

Nova Scotia Small Claims Court

The claim is dismissed because the PDS and SFHQ reflected the sellers' knowledge and were not warranties, reliance on the outdated SFHQ/PDS was unreasonable, there is insufficient evidence of a causal link between any nondisclosure and the claimed repair costs, and the alleged defects were discoverable on inspection, so no negligent misrepresentation or liability is established.

Source excerpt

• Negligent misrepresentation
• Caveat emptor
• Property disclosure statement
• Latent vs patent defects
• Causation
• Measure of damages

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Kate Energy Holdings Inc. v. Energetic Services Inc.

Court

Supreme Court of British Columbia

The court held damages were limited to the trailer’s actual cash value, not the cost of a new replacement trailer, because that lease term was not foreseeable or communicated.

• Measure of damages
• Remoteness
• Hadley v. baxendale application
• Equitable indemnity
• Damages
• Contract-damages

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Cheema v. Shums

Court

British Columbia Court of Appeal

The Court of Appeal allowed the appeal in a fraudulent misrepresentation case, replaced the damages award against the mortgage broker, and ordered set-off to avoid double recovery.

• Fraudulent misrepresentation
• Measure of damages
• Set-off and joint and several liability
• Enrichment
• Fraudulent-misrepresentation
• Measure-of-damages

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Mamaghani v. Hlynski

Court

Court of Appeal for Ontario

The trial judge correctly applied binding precedent that a vendor’s damages may be measured by a reasonable resale price; the resale price here was properly found to be reasonable based on post‑breach offer, the appellants’ valuation, and agent evidence, and the trial judge permissibly accepted credible evidence of modest carrying costs despite absence of receipts; there was no basis to overturn the findings of fact, so the appeal is dismissed.

Source excerpt

• Measure of damages
• Resale and mitigation
• Credibility of witnesses
• Costs

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Kew Estate v. Konarski

Court

Court of Appeal for Ontario

The court upheld the trial judge's exercise of discretion: damages for the converted and damaged Corvette were properly assessed on a cost-of-restoration basis rather than being limited to market value at date of conversion given the vehicle's uniqueness, the insufficiency of comparable replacements, and the estate's bona fide intention to restore at the time of trial; the trial judge did not err in rejecting the referee's report and conducting a de novo damages assessment; aggravated damages were properly awarded and were not a disguised punitive award; fresh evidence was inadmissible and th…

Source excerpt

• Conversion
• Detinue
• Measure of damages
• Aggravated damages
• Reference to referee
• Fresh evidence

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Adler v. Woitowich

Court

Court of Appeal for Ontario

The motion judge permissibly accepted the respondents' expert valuation and correctly selected April 25, 2022 as the assessment date; the proper measure of damages is the difference between the contract price and market value on that date after mitigation; the appellants did not identify any error warranting appellate intervention, so the summary judgment and damages award are upheld.

Source excerpt

• Breach of contract
• Measure of damages
• Mitigation
• Expert valuation
• Summary judgment
• Appellate review of findings

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The Rosseau Group Inc. v. 2528061 Ontario Inc.

Court

Court of Appeal for Ontario

The Court of Appeal affirmed liability: 2528061 breached the amended APS by refusing to complete the sale; however the trial judge erred in departing from the normal measure of damages (lost expected profits) without showing the normal measure would not compensate the recoverable development value, and therefore set aside the damages award and ordered a new hearing to assess damages as the difference between the purchase price and market value on the date set for closing.

Source excerpt

• Measure of damages
• Remoteness (hadley v. baxendale)
• Specific performance
• Tender and readiness to complete
• Expert evidence
• Assessment date for damages

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Jeana Ventures Ltd. v. Garrow

Court

Supreme Court of British Columbia

The court found civil fraud in a property investment dispute, awarded $1,835,410.24 in damages to Jeana Ventures Ltd., and dismissed the defendants’ counterclaim.

• Civil fraud (deceit)
• Duty of honest performance
• Buy‑sell/shotgun clause
• Repudiatory/fundamental breach
• Measure of damages
• Credibility assessment

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1104318 BC Ltd. v. Dr. Paul Wittenberg, Inc.

Court

Supreme Court of British Columbia

Trial judgment dismissing a dental-practice purchaser’s fraud and breach of contract claims arising from alleged billing misrepresentations and missing records.

• Fraudulent misrepresentation
• Breach of contract
• Adverse inference
• Document preservation
• Expert evidence
• Measure of damages

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East Coast Surf School Inc. v. Padmos

Court

Nova Scotia Small Claims Court

The defendant, who was in the business of restoring and selling vintage VW vans and who knew the buyer's purpose, breached the statutory implied condition of fitness for purpose under s.17(a) because the van was not in proper mechanical working order; the buyer is entitled to damages measured by the cost to put the goods into the condition they should have been at delivery, namely $5,172.12 for engine rebuild, plus costs, totaling $5,371.47.

Source excerpt

• Breach of warranty
• Implied condition of fitness for purpose
• Remedies for breach of contract
• Measure of damages

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