Federal Court - Christian Aboriginal Infrastructure Developments ...
Federal Court - Christian Aboriginal Infrastructure Developments ... Federal Court - Christian Aboriginal Infrastructure Developments ...
Page: 316 find that on the facts of this case, the Plaintiffs are entitled to recover concurrently in either contract or tort. [1184] The Plaintiffs’ claim here, whether in contract or in tort, is one for pure economic loss. [1185] In Canadian National Railway Co. v. Norsk Pacific Steamship Co., [1992] 1 S.C.R. 1021, 2010 FC 495 (CanLII) the Supreme Court of Canada recognized the right to recover for pure economic loss in both of the torts which the Plaintiffs have made out. [1186] In V.K. Mason Construction v. Bank of Nova Scotia, [1985] 1 S.C.R. 271, Justice Wilson made the following observations at page 288 about damages in cases of negligent misrepresentation: (2) Although damages for negligent misrepresentation would normally be assessed in terms of actual loss, including lost opportunity, rather than loss of anticipated profit, in this case the commercial context in which the parties operated dictates that Mason’s loss should be calculated in the same way in tort as it would be in contract. Mason is accordingly entitled to damages in the sum of $1,138,151.63, being the entire balance outstanding under its contract with Courtot, plus interest on this amount at the rate of 9 per cent per annum from October 7, 1974 to March 21, 1980. [1187] Further, I find that this is an action arising in a commercial context. The Plaintiffs’ losses can be fairly and reasonably described as “expectation losses” and will be assessed accordingly.
Page: 317 [1188] It is not disputed that the Plaintiffs built the mill in Watson Lake as a business venture. The evidence was that the mill was expected to make a profit. There was also evidence that the Plaintiffs were prepared to shut down sawmilling operations if there was no prospect of the joint venture being a viable business. [1189] There is evidence that the Plaintiffs were aware of their options of making other 2010 FC 495 (CanLII) investments. For example, I refer to the letter of Mr. Heit to Ms. Guscott, dated March 19, 1999; see Exhibit D-13. In his letter, Mr. Heit advised the Department that unless there was a reasonable level of optimism, with respect to the availability of timber, he would recommend that the mill close, and the operation move to a more business friendly jurisdiction. [1190] I find, from Mr. Heit’s March 19 th letter and all of the surrounding circumstances, that the Plaintiffs were prepared to shut down the Watson Lake sawmill operation and invest in building a business in a different jurisdiction. [1191] I have already found that the Plaintiffs have succeeded in their causes of action for breach of contract, negligence and negligent misrepresentation. I also find that they have met their burden with respect to evidence, on the balance of probabilities, concerning their losses. [1192] The Defendant addressed the issue of damages in her closing submissions. She argued that the damages claimed by the Plaintiff were speculative and consequently, could not be recovered. In
- Page 265 and 266: Page: 265 Thus, where an advising p
- Page 267 and 268: Page: 267 Q. And you understood tho
- Page 269 and 270: Page: 269 considering the balance o
- Page 271 and 272: Page: 271 was withheld addressed th
- Page 273 and 274: Page: 273 [1037] Was that reliance
- Page 275 and 276: Page: 275 build a mill was consider
- Page 277 and 278: Page: 277 [1052] As a result, I fin
- Page 279 and 280: Page: 279 servants. That was a subj
- Page 281 and 282: Page: 281 [1068] As I understand th
- Page 283 and 284: Page: 283 contract. Liability can a
- Page 285 and 286: Page: 285 [1084] Mr. Alan Kerr and
- Page 287 and 288: Page: 287 [1093] Given the nature o
- Page 289 and 290: Page: 289 [1096] The Plaintiffs sub
- Page 291 and 292: Page: 291 decision in Daulia Ltd. v
- Page 293 and 294: Page: 293 which are commonly endeav
- Page 295 and 296: Page: 295 [1115] The Defendant reli
- Page 297 and 298: Page: 297 [1123] With respect to th
- Page 299 and 300: Page: 299 adequate supply of timber
- Page 301 and 302: Page: 301 In the circumstances of t
- Page 303 and 304: Page: 303 4. Breach of Fiduciary Du
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- Page 307 and 308: Page: 307 to injure the plaintiff.
- Page 309 and 310: Page: 309 There are no special dama
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- Page 313 and 314: Page: 313 MR. WHITTLE: I am satisfi
- Page 315: Page: 315 items thereof may be inac
- Page 319 and 320: Page: 319 …The difficulty in fixi
- Page 321 and 322: Page: 321 [1202] In closing argumen
- Page 323 and 324: Page: 323 opinion testimony on the
- Page 325 and 326: Page: 325 that it “came directly
- Page 327 and 328: Page: 327 [1228] Mr. Van Leeuwen sa
- Page 329 and 330: Page: 329 company would have been g
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- Page 333 and 334: Page: 333 the weight to be given to
- Page 335 and 336: Page: 335 [1262] Mr. Van Leeuwen pr
- Page 337 and 338: Page: 337 reasonable. The estimatio
- Page 339 and 340: Page: 339 [1280] In cross-examinati
- Page 341 and 342: Page: 341 [1286] Mr. Van Leeuwen, i
- Page 343 and 344: Page: 343 a secure timber supply, t
- Page 345 and 346: Page: 345 A. Definitely. Because, a
- Page 347 and 348: Page: 347 [1309] The Defendant cros
- Page 349 and 350: Page: 349 [1317] As well, the Defen
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- Page 353 and 354: Page: 353 [1331] The Defendant has
- Page 355 and 356: Page: 355 8. Interest [1340] The Pl
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- Page 359 and 360: Page: 359 Post-judgment interest 36
- Page 361 and 362: Page: 361 [1350] Similarly, the Cou
- Page 363 and 364: Page: 363 [1360] Counsel for both p
- Page 365 and 366: Page: 365 [1367] However, two of th
Page: 317<br />
[1188] It is not disputed that the Plaintiffs built the mill in Watson Lake as a business venture. The<br />
evidence was that the mill was expected to make a profit. There was also evidence that the Plaintiffs<br />
were prepared to shut down sawmilling operations if there was no prospect of the joint venture<br />
being a viable business.<br />
[1189] There is evidence that the Plaintiffs were aware of their options of making other<br />
2010 FC 495 (CanLII)<br />
investments. For example, I refer to the letter of Mr. Heit to Ms. Guscott, dated March 19, 1999; see<br />
Exhibit D-13. In his letter, Mr. Heit advised the Department that unless there was a reasonable level<br />
of optimism, with respect to the availability of timber, he would recommend that the mill close, and<br />
the operation move to a more business friendly jurisdiction.<br />
[1190] I find, from Mr. Heit’s March 19 th letter and all of the surrounding circumstances, that the<br />
Plaintiffs were prepared to shut down the Watson Lake sawmill operation and invest in building a<br />
business in a different jurisdiction.<br />
[1191] I have already found that the Plaintiffs have succeeded in their causes of action for breach of<br />
contract, negligence and negligent misrepresentation. I also find that they have met their burden<br />
with respect to evidence, on the balance of probabilities, concerning their losses.<br />
[1192] The Defendant addressed the issue of damages in her closing submissions. She argued that<br />
the damages claimed by the Plaintiff were speculative and consequently, could not be recovered. In