In a unanimous decision rendered on December 4, 2018, the Quebec Court of Appeal dismissed the appeal filed by the City of Dollard-des-Ormeaux (“DDO”) of a judgment rendered by Superior Court Justice Pepita G. Capriolo on July 19, 2016.
In this matter, DDO had sold a parcel of land to 4164717 Canada Inc. (“Canada Inc.”) on the condition that it build a real estate project as outlined in the sale contract. Following a six-day trial, the judge concluded that through its conduct, which she considered to have been in bad faith, DDO effectively prevented Canada Inc. from performing the project.
The judge accordingly declared the sale contract dissolved and ordered DDO to reimburse the sale price to Canada Inc., as well as the municipal taxes it had paid since the sale. She also acknowledged Canada Inc.’s right to claim damages from DDO.