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The Ontario Court of Appeal enforced a property partnership agreement, severed an uncertain proceeds clause, and rejected claims of undue influence, fiduciary breach, and unconscionability.
Summary trial over a $6.18 million construction deposit. The court held Terrace could retain the deposit as security after Taisheng failed to develop the lands.
The clause 6(6)(a) is valid and enforceable because the offered price is objectively determinable as the amount of the remaining mortgage, the absence of an exercise period is not fatal (limitation law applies if necessary), and the testatrix intended her daughter to have the option even if the mortgage balance was zero; accordingly Jocelyne is responsible for mortgage release costs consistent with the will's distribution scheme.
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The Court of Appeal found the respondent breached an option to purchase, but held specific performance was the proper remedy and substituted an order for sale.
Judicial review of an RTB decision was dismissed. The court held the landlord could not rely on a lease clause to end the tenancy and the rehearing was fair.
The will granted an option to purchase which, when exercised within the 60‑day period, became an enforceable contract; the phrase 'enforceable agreement' refers to the exercised option rather than a completed subsequent APS; the absence of a fixed closing date did not render the option uncertain because the will provided for a reasonable time to be set by the estate trustees to be exercised in good faith.
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The Court of Appeal allowed the appeal, held the motion judge erred by not considering that the appellant was a subsequent purchaser and by ordering specific performance on the existing record because there was no evidence whether the appellant had actual notice or whether the transfer was arm’s length; the order for specific performance was set aside and the matter remitted for trial on whether the appellant was a bona fide purchaser for value without notice entitled to protection under s.78(4) of the Land Titles Act or provisions of the Mortgages Act, with interim rent directions.
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The court allowed summary trial and ordered the defendant to return a $1.5 million deposit, rejecting waiver, estoppel, anticipatory breach, and good faith defences.
The Tenant's unilateral partial tender of only its appraisal value and withholding the disputed balance in its solicitor's trust was not valid tender under the contract created by exercise of the option; that failure to tender the full contractual purchase price constituted a material breach that forfeited the Tenant's right to complete the purchase, therefore the Landlord was entitled to a declaration that the options are null and void and to relief including removal of registrations and vacant possession.
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The plaintiff alleged fraudulent misrepresentation in a blueberry farm purchase, claiming the defendants said 72 acres were planted. The court dismissed the action.
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