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Good Faith Contract Disputes Canada

Bennett Jones LLP

Annulment Clauses and Good Faith

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The Ontario Superior Court of Justice has recently reaffirmed the importance of good faith—or the lack thereof—and reasonableness in real estate transactions, particularly when disputes arise over title defects, third-party...more

Stikeman Elliott LLP

Asbestos: To Remove or Not to Remove – Is That the Question?

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The Alberta Court of King’s Bench provides clarification on both the interpretation and application of the Occupational Health and Safety Act regarding asbestos as well as the duties of landlords and tenants to carry out...more

Stikeman Elliott LLP

The Quebec Court of Appeal Clarifies the Rules of Engagement When Negotiating Renewal Terms for a Commercial Lease – The Freedom...

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In 2177 23rd Avenue Holdings v. Pival International inc. (2025 QCCA 19) dated January 9, 2025, the Quebec Court of Appeal rendered an enlightening decision on the obligation of a landlord to negotiate the terms and conditions...more

Littler

Supreme Court of Canada Clarifies Duty to Exercise Contractual Discretion in Good Faith

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In 2020, the Supreme Court of Canada (SCC) heard arguments in Wastech Services Ltd. v. Greater Toronto Sewage and Drainage District, 2021 SCC 7 (Wastech) and C.M. Callow Inc. v. Zollinger, 2020 SCC 45 (Callow), both of which...more

Blake, Cassels & Graydon LLP

La Cour suprême du Canada reconnaît l’obligation de bonne foi dans l’exercice d’un pouvoir discrétionnaire contractuel

Dans l’arrêt qu’elle a rendu dans l’affaire Wastech Services Ltd. c. Greater Vancouver Sewerage and Drainage (l’« affaire Wastech »), la Cour suprême du Canada (la « Cour suprême ») a reconnu l’obligation générale d’exercer...more

Blake, Cassels & Graydon LLP

Supreme Court of Canada Recognizes Duty of Good Faith in Exercise of Contractual Discretion

In Wastech Services Ltd. v. Greater Vancouver Sewerage and Drainage (Wastech), the Supreme Court of Canada (SCC) recognized a general duty to exercise contractual discretion in good faith. This bulletin summarizes the SCC’s...more

Bennett Jones LLP

Supreme Court of Canada Imposes Good Faith Limits on the Exercise of Contractual Discretion

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Good faith requires a party who has a discretionary power under a contract to exercise that discretion in accordance with the purposes for which it was conferred, the Supreme Court of Canada recently held in Wastech Services...more

Bennett Jones LLP

Supreme Court of Canada to Revisit Bhasin and Contractual Parties' Duty of Good Faith

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The Supreme Court of Canada (SCC) recently granted leave to appeal from the British Columbia Court of Appeal's decision in Greater Vancouver Sewerage and Drainage District v Wastech Services Ltd., 2019 BCCA 66. The case...more

Bennett Jones LLP

Alberta Court of Appeal Revisits Contractual Good Faith Principles

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The organizing principle of good faith and the duty of honest contractual performance laid down by the Supreme Court of Canada in Bhasin v Hrynew, 2014 SCC 71 [Bhasin] do not give courts the ability to review the fairness of...more

Blake, Cassels & Graydon LLP

Ontario Court of Appeal Confirms Parties May Adjudicate Contract Disputes Through Application Despite Factual Questions

In a recent decision, Energy Fundamentals Group Inc. v. Veresen Inc. (Veresen), the Ontario Court of Appeal confirmed that, even where there are factual questions the court must resolve, a contract dispute may be adjudicated...more

Bennett Jones LLP

New Good-Faith Duty of Honesty in Contractual Performance Recognized by Supreme Court of Canada

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A new duty of honest performance has been imposed on all Canadian contracts by the Supreme Court of Canada. The notion of a general and independent doctrine of good faith performance of contracts has historically been...more

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