Federal Court - Christian Aboriginal Infrastructure Developments ...

Federal Court - Christian Aboriginal Infrastructure Developments ... Federal Court - Christian Aboriginal Infrastructure Developments ...

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Page: 284 4, 1996 and Minister Irwin on March 13, 1997 cannot, and do not, provide a basis for finding a contract. [1080] The Defendant focuses on the absence of a THA and argues that without this agreement, the Plaintiffs’ plea of contract is fatally wounded. 2010 FC 495 (CanLII) [1081] The Plaintiffs are not asserting that there was a contract with the Defendant that a THA would be granted. They advance a cause of action that is available to them on the basis of the known facts and the evidence submitted in the trial of this matter. [1082] The Plaintiffs, beginning with LPL in 1996, approached the agents and employees of the Defendant with inquiries about getting access to wood to supply a mill to be built in Watson Lake. The initial overtures in 1996 led to the introduction of Mr. Brian Kerr to members of the B.I.D. Group who are based in Vanderhoof, British Columbia. That introduction occurred in late 1996 to early 1997. In July 1997, Mr. Spencer and Mr. Fehr of the B.I.D. Group travelled to Whitehorse for a meeting with representatives of DIAND. Mr. Alan Kerr and Mr. Brian Kerr attended that meeting as well, on behalf of LPL. [1083] Mr. Spencer and Mr. Fehr testified that as a result of that meeting, they were satisfied that the Defendant had committed to provide an adequate supply of timber if the mill were built.

Page: 285 [1084] Mr. Alan Kerr and Mr. Brian Kerr, representatives of LPL, also testified that they understood that the Defendant had committed to providing the wood that was required to operate the mill. [1085] On the basis of that representation, LPL decided to move ahead, in a joint venture, where SYFC was chosen as the operating entity of the joint venture. The Plaintiffs built the mill in 1997 2010 FC 495 (CanLII) and 1998, and it first began operating in October 1998. [1086] The starting point in dealing with the issue of a contract is, once more, the relationship between the parties. The Defendant was the custodian of the forest resources in southeast Yukon and the Plaintiffs were private corporate citizens with an interest in pursuing business interests in that region, involving the construction and operation of a mill that would provide employment in an area with chronically high levels of unemployment and that would allow the policies embodied in the regulation regarding the 60/40 Rule, to work, also contributing to employment for woodsmen and loggers. There was an alignment of interests. [1087] As I have earlier found, the Defendant made a representation to LPL at the “due diligence” meeting on July 15, 1997. In brief, there was a representation that “if you build a mill, we will give you timber”. This representation contains the implied representations that there was an existing commitment to provide a long-term adequate volume of timber to whoever built a mill in southeast Yukon, together with the ability to provide the timber.

Page: 284<br />

4, 1996 and Minister Irwin on March 13, 1997 cannot, and do not, provide a basis for finding a<br />

contract.<br />

[1080] The Defendant focuses on the absence of a THA and argues that without this agreement, the<br />

Plaintiffs’ plea of contract is fatally wounded.<br />

2010 FC 495 (CanLII)<br />

[1081] The Plaintiffs are not asserting that there was a contract with the Defendant that a THA<br />

would be granted. They advance a cause of action that is available to them on the basis of the<br />

known facts and the evidence submitted in the trial of this matter.<br />

[1082] The Plaintiffs, beginning with LPL in 1996, approached the agents and employees of the<br />

Defendant with inquiries about getting access to wood to supply a mill to be built in Watson Lake.<br />

The initial overtures in 1996 led to the introduction of Mr. Brian Kerr to members of the B.I.D.<br />

Group who are based in Vanderhoof, British Columbia. That introduction occurred in late 1996 to<br />

early 1997. In July 1997, Mr. Spencer and Mr. Fehr of the B.I.D. Group travelled to Whitehorse for<br />

a meeting with representatives of DIAND. Mr. Alan Kerr and Mr. Brian Kerr attended that meeting<br />

as well, on behalf of LPL.<br />

[1083] Mr. Spencer and Mr. Fehr testified that as a result of that meeting, they were satisfied that<br />

the Defendant had committed to provide an adequate supply of timber if the mill were built.

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