Akelius Canada Ltd. V. 2436196 Ontario Inc. 2022 Ont CA
Vendor defaulted on an agreement. Purchasers sued for damages; in particular, it claimed the capital gain that the vendor obtained when it re-sold the property two years later. The court held that, in the normal course, the starting point for the assessment of damages for breach of contract is the date of the breach. Unfortunately, that is just starting point and, depending upon the market at the time and other factors, the courts have set other dates for the assessment of damages. In this case, the court held that the assessment of damages should take place as of the breach and not two years later when vendor re-sold the property.
Written by Jonathan Speigel, the founding partner of Speigel Nichols Fox LLP, leads the litigation and construction practices.