Construction contracts come with expectations and potential risks to property owners and contractors. Property owners can face issues related to quality of workmanship, delays, and incomplete or abandoned work. Contractors (including sub-contractors) can deal with a myriad of problems which delay or hinder payment, including issues with other sub-trades, the general contractor, or the owner. Whether you are a property owner undertaking construction or renovations, or a contractor (or sub contract) who has been engaged on a project, if things don’t go as planned it’s important to know what your options for recourse may be. A newly established cost-effective adjudication regime has become an important option to consider. Want to learn more about how to protect yourself from a home renovation disaster? Check out our blog. With the Ontario Legislature’s ratification of the new Construction Act, prompt payment and adjudication came into effect on October 1, 2019. The new legislation … Read More
Contract Lawyers – The Duty of Good Faith – Update on Bhasin v Hrynew
The Supreme Court of Canada (SCC) recently released its decision in Wastech Services Ltd. v. Greater Vancouver Sewerage and Drainage District, 2021 SCC 7 (CanLII) which clarifies the operation of the duty to exercise contractual discretion in good faith described in the seminal case, Bhasin v. Hrynew, 2014 SCC 71 (CanLII), [2014] 3 SCR 494. The SCC confirms that where a party exercises a discretionary power under a contract, it must do so in good faith (meaning that parties must exercise their contractual duties honestly, reasonably, and not capriciously or arbitrarily). If a party violates the duty of good faith, the contract is breached. The SCC opined that the following question must be asked when deciding if a party breached the duty of good faith: Was the exercise of contractual discretion unconnected to the purpose for which the contract granted discretion? If the answer is yes, then the party has … Read More
Condo Arbitration, Condo Litigation, Condo Oppression Claims, and Piggybacking
As a Condo Dispute Arbitrator, I am very interested when the Court of Appeal for Ontario addresses an appeal concerning an arbitration clause in a condominium document and a motion to stay Superior Court proceedings in favour of arbitration. The Case In the very recent decision Toronto Standard Condominium Corporation No. 1628 v. Toronto Standard Condominium Corporation No. 1636, 2021 ONCA 360, the Court of Appeal for Ontario, allowed an appeal from the order of the motion judge dismissing the appellants’ motion to stay an application in favour of arbitration. The dispute concerned a cost-sharing agreement (“Reciprocal Agreement”), wherein the parties agreed to contribute to the costs of the operation and maintenance of defined Common Facilities. A dispute arose as to the amounts due under the Reciprocal Agreement, which contained this arbitration clause: “The validity, construction and performance of this Agreement shall be governed by the laws of the Province … Read More
Aborting A Real Estate Deal Can Have Major Consequences
A recent Court of Appeal ruling illustrates the severe consequences that can flow from aborting a real estate transaction. In the decision of Joo v. Tran, 2021 ONCA 107, the Court of Appeal declined to give effect to a term that was included in an agreement of purchase and sale (APS), on the basis that such an interpretation of the clause would have resulted in an absurdity. The clause indicated that the vendors would discharge any encumbrances on or before closing, either through sale proceeds or by way of a solicitor’s undertaking, which term was included in Schedule A of the APS. The decision arose from the appeal of a ruling on a summary judgment motion brought by the seller, who sued the purchaser in a real estate transaction for breach of contract, after the purchaser expressing concerns regarding utility easements on the property, aborted the real estate transaction. The … Read More
Five Reasons People Sue After Buying or Selling Real Estate
In a heated real estate market where blind bidding and unconditional offers are necessary to compete, often times purchasers are vulnerable to pulling the trigger and asking questions afterwards. Conversely sellers are looking to capitalize on market highs and looking to sell for top dollar which often comes down to timing. These competing interests can lead to litigation when a real estate transaction doesn’t go as planned. Here are five common reasons that litigation arises from real estate transactions: 1) Breach of Contract Litigation often arises because a seller or purchaser has breached the purchase and sale agreement. There are many contractual terms that set out the rights and obligations of the respective parties in a real estate transaction including the closing date, title clearance, deposit requirements, inclusions, exclusions, and conditions. A Plaintiff commencing suit over a breach of the contract must prove that they have complied with all of … Read More
Domain Name Disputes, Counterfeit Websites, Fake Bad Reviews and Remedies
I discuss here a number of internet-based “dirty tricks” that competitors or others may deploy and which may have serious adverse consequences for you or your business. I also briefly mention the types of remedies which may be available to those victimized in this way. Confusingly Similar Domain Names In today’s modern web-based commercial world, it is more important than ever to ensure that potential customers and returning customers are properly connected with your website domain name, and to use domain names that are well-branded and associated with your business. It is not uncommon for competitors, cyber-squatters, or other persons to obtain control of domain names that are confusingly similar to your trademarks, business names, or your domain name. Then there is a real risk that users seeking your website are instead directed elsewhere by that confusingly similar domain name. Recovering a Domain Name In order to recover (transfer to … Read More
Toronto Arbitrators – Reasonable Fee & Good Availability
Sole Arbitrator – from $450.00 per hour, plus HST Gilbertson Davis LLP Arbitration Chambers Arbitrators All of the Gilbertson Davis LLP Arbitration Chambers arbitrators are senior legal practitioners who also accept appointments as arbitrators. They are distinguished in their respective areas of practice and have differing legal practice backgrounds, through diversity of their legal experience in the world of reinsurance, insurance, business disputes, shareholder disputes, partnership disputes, commercial disputes, commercial leasing, construction, employment law, condo law, IT and IP, sale of goods, franchise, international trade & distribution, and marine matters, through language skills, and from foreign legal experience and accreditations. This makes a Gilbertson Davis LLP Arbitrator uniquely qualified for your consideration. Accepting Appointments & Arbitration During the Pandemic Gilbertson Davis LLP Arbitration Chambers is open, and the chambers arbitrators are accepting appointment and progressing arbitration proceedings, despite the pandemic. Through our experience in the case management of arbitration, we … Read More
Shareholder’s Remedies
Shareholder Remedies Under the Ontario Business Corporations Act (“OBCA”), shareholders of a corporation have a variety of rights. Outlined below are a few rights that all shareholders should be aware they possess. Voting Rights The board of directors, under s. 115 are ultimately responsible for managing or supervising the management of the business and affairs of a corporation. Major business decisions also involve the participation of the board of directors, though sales, leases, or exchanges of all or substantially all the property of the corporation that is not in the ordinary course of business requires the approval of shareholders (s. 184(3)). Shareholders also have voting rights that allow them to control the makeup of the board of directors (s. 119(4)), and also the ability to remove directors under s. 122(1) (though this is subject to exceptions under s. 120(f)). Shareholders have additional voting rights under s. 100(2). Access to Information Rights Under s. 140(1) corporations … Read More
Move Summary Judgment Motion to Arbitration – Early Dates Available
Move Summary Judgment Motion to Arbitrator With the current curtailment of complete and timely operation of the court, the alternative option of consensually moving summary judgment or other important motions to arbitration provides a timely and cost efficient alternative to court proceedings. Parties before the courts may wish to turn to arbitration, which for at least a year in this jurisdiction, has regularly been conducted virtually, and at the pace the parties require. Parties are free to enter into an arbitration agreement specifically addressing all or part of a dispute, or only a stage of the proceedings, or a separate or discrete issue to be resolved. Arbitration is particularly well-suited for the final determination of important motions and threshold questions. The parties to a court proceeding can agree that the court proceeding be moved to arbitration for final resolution, or that only a specific stage of the proceedings or a … Read More
Defamation Law – What is a “Broadcast” or “Newspaper” under the Libel and Slander Act?
We write further to our blog which discussed the short deadlines under Ontario’s Libel and Slander Act (“Act”) that apply to defamatory content which is considered a “broadcast” or “newspaper”[1]. The Act states that: No action for libel in a newspaper or in a broadcast lies unless the plaintiff has, within six weeks after the alleged libel has come to the plaintiff’s knowledge, given to the defendant notice in writing, specifying the matter complained of, which shall be served in the same manner as a statement of claim or by delivering it to a grown-up person at the chief office of the defendant. An action for a libel in a newspaper or in a broadcast shall be commenced within three months after the libel has come to the knowledge of the person defamed, but, where such an action is brought within that period, the action may include a claim for … Read More
Defamation Lawyers and the Inference of Publication
In our blog Toronto Defamation Lawyers – Libel and Slander Law in Ontario, we suggest that in order to be successful on a defamation claim, one would have to prove that the allegedly defamatory publication was “published”, among other things. The court of appeal has provided some clarity on what it means to “publish” defamatory content. In Zoutman v. Graham, 2020 ONCA 767 (CanLII), the court contends on an appeal from a summary judgment motion, that a defamation claim requires proof that the “words were communicated to at least one person other than the plaintiff”. On the original summary judgment motion, the motions judge acknowledged that there was no evidence that the allegedly defamatory postings were viewed by anyone other than the parties and their lawyers. However, the motions judge drew an “inference of publication” from the totality of the circumstances. In drawing the inference of publication, the motions judge … Read More
Three Things To Know About Separation Agreements
Separation agreements are legal contracts created by two spouses, after separation. Separation agreements set out each spouse’s rights and obligations on issues such as parenting, finances, property, and support. Both married spouses and common-law spouses can enter into a separation agreement. Separation Agreements are Faster and More Economical Than Going to Court Traditional court litigation can be time-consuming and expensive. It can take years to reach a resolution in court. With litigation, the courts decide when and how a matter moves forward. Even at the best of times, many courts have a large backlog. Since the beginning of the COVID-19 pandemic, the courts have an even larger backlog. The court process is also expensive, and the costs are unpredictable. When negotiating a separation agreement outside of court, parties get to decide the pace and are in more control of the costs. Issues to Address in a Separation Agreement Separating spouses … Read More
China International Arbitration Award Enforced by Ontario Court
Tianjin v. Xu, 2019 ONSC 628 (CanLII) involved an application under the International Commercial Arbitration Act, 2017, SO 2017, c 2, Sch 5 (the “Act”) for an order recognizing and making enforceable in Ontario an arbitral award of the Chinese International Economic and Trade Arbitration Commission (“CIETAC”). Respondent’s Defences The respondent argued that the arbitration award should not be enforced in Ontario because: Service: The respondent did not receive notice of the arbitral proceeding or the appointment of arbitrators; and Jurisdiction: The Ontario Superior Court of Justice did not have jurisdiction to enforce the arbitral award because the arbitration was not an “international commercial arbitration”. Service The court found that there is no requirement that service of notice of the arbitral proceedings or of appointment of arbitrators be effected in accordance with the CIETAC Rules. Rather, the court opined that the respondent was given “proper notice” of the proceedings and … Read More
Internet Harassment: New Tort Recognized in Ontario
Following up on our previous blog in which we advise that the Ontario Court of Appeal decided that there is no common law tort of harassment, the Ontario Superior Court of Justice has now recognized the new tort of online harassment. In the recent decision, Caplan v. Atas, 2021 ONSC 670 (CanLII), the court recognized the inadequacies in the current legal system’s responses to internet defamation and harassment matters. The court opines that while defamation law and freedom of speech have created a balance in society which promotes both free democratic debate and protection of one’s reputation simultaneously, the internet has “cast that balance into disarray”. Recognition of the New Tort of Harassment The difficulty in the cases before the court was that the defendant was not deterred from further egregious conduct even in the face of multiple severe consequences. The defendant was also impecunious, so compensation was not a … Read More
B.C. Court Claims Jurisdiction over International Online Defamation Case
This blog post is further to our blog on the Supreme Court of Canada (“SCC”) decision in Haaretz.com v. Goldhar, 2018 SCC 28 (CanLII) (“Haaretz”) wherein the SCC opined that Israel was a more convenient forum for an online defamation claim brought by the plaintiff in Ontario (even though the SCC recognized that Ontario had jurisdiction over the matter). The SCC considered a number of factors in its decision (all outlined in our blog). In the recent Supreme Court of British Columbia (“BCSC”) decision, Giustra v Twitter, Inc., 2021 BCSC 54 (CanLII) (“Giustra”), the BCSC confirmed that even where jurisdiction is found, a court can decline to exercise its jurisdiction under the principle that its court is not the most convenient forum for the hearing of the dispute (largely following the tenets laid out in Haaretz). The court in Giustra cited Haaretz in pointing out that the applicable law in … Read More
Commercial Mediator, David Alderson, LL.B, LL.M (Commercial and Corporate)
David Alderson is a Commercial Mediator: Hourly Rate: $550.00 per hour, plus facilities and applicable taxes. Daily Rates and Half-day Rates available. Language: English Commercial Mediator – Approach to Resolving Disputes David Alderson seeks to be a resolver, an effective mediator, by being an interactive listener, a facilitator of communications and negotiation, and when the parties to a dispute require it, a neutral evaluator. With over 40 years of practice as a lawyer in a very wide variety of business, commercial, trade, property, distribution and franchise, technology, employment, reinsurance and marine disputes, both in local and international practices, David brings to the mediation a broad competence in facilitating the process, assisting parties to articulate their interests and to define the issues, and in subject matter neutral evaluation. He is equally at home in the context of complex, multi-party, and two-party single-issue disputes. He is confident about the mediation process and considers that … Read More
The Ontario Commercial Mediation Act, 2010 (Blog Part III)
David Alderson is a Commercial Mediator: Hourly Rates: $550.00 to $475.00 per hour (depending on amount of the claims), plus facilities and applicable taxes. Daily Rates and Half-day Rates available. Language: English The Ontario Commercial Mediation Act, 2010 (Blog Part III) This blog post (Part III) consider the provisions of the Ontario Commercial Mediation Act 2010, S.O. 2010, c.16, Sch. 3 (the “Act”) concerning settlement agreements, enforcement of settlement, application of the Ontario Rules of Civil Procedure, judgments, orders, the effect of filing the agreement, and enforcement of mediator’s fee. Earlier blog posts: (Part II) considers the provisions of the Act not included in an earlier blog post (Part I) or the subsequent blog post (Part III), including the mediator’s authority, prohibition of disclosure between parties, confidentiality, admissibility, and the relationship to arbitration and judicial proceedings. (Part I) considers the provisions of the Act concerning the application of that legislation, definitions contained … Read More