561895 Ontario Inc. et al. v. Metropolitan Trust Co. of Canada et al., [2001] O.T.C. 423 (SupCt)

• Judge: Panet, J.
• Court: Superior Court of Justice of Ontario (Canada)
• Case Date: October 12, 2001
• Jurisdiction: Ontario
• Citations: [2001] O.T.C. 423 (SupCt)

561895 Ont. Inc. v. Metropolitan Trust, [2001] O.T.C. 423 (SupCt)

MLB headnote and full text

Temp. Cite: [2001] O.T.C. TBEd. JN.026

561895 Ontario Inc., Jean Pierre Charbonneau and Joanne Charbonneau (plaintiffs) v. Metropolitan Trust Company of Canada, Metropolitan Trustco Limited, Aurele Simourd, Wayne Lecuyer, Peat Marwick Thorne Inc., Beacon Hill Lodges of Canada Ltd., and Beth-Mar Realty Investments Ltd. (defendants)

(S.C.O. 12019/89)

Indexed As: 561895 Ontario Inc. et al. v. Metropolitan Trust Co. of Canada et al.

Court of Ontario

Superior Court of Justice

Panet, J.

May 30 and October 12, 2001.

Summary:

This headnote contains no summary.

Company Law - Topic 1164

Incorporation and organization - Name of corporation - Use of name - See paragraphs 132 to 139.

Equity - Topic 3655

Fiduciary or confidential relationships - Breach of fiduciary relationship - Damages - See paragraphs 152 to 164.

Equity - Topic 3713

Fiduciary or confidential relationships - Commercial relationships - Arm's length commercial transactions - See paragraphs 111 to 122.

Interest - Topic 5009

Interest as damages (prejudgment interest) - General principles - Prejudgment interest - Calculation of (incl. rate) - See paragraphs 239 to 245.

Practice - Topic 6923

Costs - General principles - Power to award or fix costs - See paragraphs 216 to 221.

Practice - Topic 7454

Costs - Solicitor and client costs - Entitlement to solicitor and client costs - Improper, irresponsible or unconscionable conduct - See paragraphs 222 to 225.

Receivers - Topic 1667

Appointment - Appointment order - Setting aside - See paragraphs 147 to 151.

Releases - Topic 4028

Operation - Scope of matters released - Contracts - See paragraphs 123 to 131.

Cases Noticed:

NBD Bank Canada v. Dofasco Inc. et al. (1997), 41 O.T.C. 321 (Gen. Div.), affd. (1999), 127 O.A.C. 338; 46 O.R.(3d) 514 (C.A.), refd to. [para. 131].

Hodgkinson v. Simms et al., [1994] 3 S.C.R. 377; 171 N.R. 245; 49 B.C.A.C. 1; 80 W.A.C. 1, refd to. [para. 138].

International Corona Resources Ltd. v. LAC Minerals Ltd., [1989] 2 S.C.R. 574; 101 N.R. 239; 36 O.A.C. 57, refd to. [para. 139].

Standard Investments Ltd., Brentwood Realty Ltd., Cohen and Ellen v. Canadian Imperial Bank of Commerce (1985), 11 O.A.C. 318; 52 O.R.(2d) 473 (C.A.), refd to. [para. 141].

National Malleable Castings Co. v. Smith's Falls Malleable Castings Co. (1906), 14 O.L.R. 22, affd. 1907 CarswellOnt 472 (C.A.), refd to. [para. 160].

Universal Handling Equipment Co. v. Redipac Recycling Inc. (1992), 4 P.P.S.A.C.(2d) 15 (Ont. Gen. Div.), refd to. [para. 163].

Spence v. Crawford, [1939] 3 All E.R. 271, refd to. [para. 173].

Erlanger v. New Sombrero Phosphate Co. (1878), 3 App. Cas. 1218, refd to. [para. 173].

Cheese v. Thomas, [1994] 1 All E.R. 35 (C.A.), refd to. [para. 174].

Canson Enterprises Ltd. et al. v. Boughton & Co. et al., [1991] 3 S.C.R. 534; 131 N.R. 321; 6 B.C.A.C. 1; 13 W.A.C. 1, refd to. [para. 178].

Nathu v. Imbrook Properties Ltd. (1992), 125 A.R. 34; 14 W.A.C. 34; 89 D.L.R.(4th) 751 (C.A.), refd to. [para. 182].

Moase Produce Ltd. v. Royal Bank of Canada (1987), 66 Nfld. & P.E.I.R. 196; 204 A.P.R. 196; 64 C.B.R.(N.S.) 191 (P.E.I.T.D.), refd to. [para. 183].

Royal Bank of Canada v. Got (W.) & Associates Electric Ltd. et al. (1994), 150 A.R. 93; 17 Alta. L.R.(3d) 23 (Q.B.), affd. (1997), 196 A.R. 241; 141 W.A.C. 241 (C.A.), affd. [1999] 3 S.C.R. 408; 247 N.R. 1; 250 A.R. 1; 213 W.A.C. 1, refd to. [para. 192].

Lloyd v. Grace, Smith & Co., [1912] A.C. 716, refd to. [para. 196].

P.A.B. v. Children's Foundation et al., [1999] 2 S.C.R. 534; 241 N.R. 266; 124 B.C.A.C. 119; 203 W.A.C. 119, refd to. [para. 197].

Canadian Pacific Railway Co. v. Lockhart, [1941] A.C. 591, refd to. [para. 198].

Murano et al. v. Bank of Montreal et al. (1998), 111 O.A.C. 242 (C.A.), refd to. [para. 219].

Beaver Lumber Co. v. 222044 Ontario Ltd. (1996), 5 C.P.C.(4th) 253 (Ont. Gen. Div.), refd to. [para. 223].

Counsel:

M. James O'Grady, Q.C., and B.W. Kwasniewski, for the plaintiffs;

K. Scott McLean and D.B. Padgett, for the defendants, Metropolitan Trust Company of Canada, Metropolitan Trustco Limited, Wayne Lecuyer, Peat Marwick Thorne Inc. and Beth-Mar Realty Investments Ltd.;

Paul A. Webber, Q.C., and G.J. Kirk, for the defendant, Aurele Simourd.

This action was heard on September 20-22, 25-27, October 2-6, 10-12, 30, 31, November 1, 7, 9, 21, 30, 2000, January 3-5, 11-12, 17-19, 22-26, 29-31, February 12-15, 2001, by Panet, J., of the Ontario Superior Court who released the following judgment and decision on costs on May 30 and October 12, 2001 respectively.

Please note: The following judgment has not been edited.