A & K Lick-A-Chick Franchise Ltd. v. Cordiv Enterprises Ltd., Divito and Cordeau, (1981) 44 N.S.R.(2d) 159 (TD)

JudgeRichard, J.
CourtSupreme Court of Nova Scotia (Canada)
Case DateJanuary 09, 1981
JurisdictionNova Scotia
Citations(1981), 44 N.S.R.(2d) 159 (TD)

A&K Lick-A-Chick v. Cordiv Ent. (1981), 44 N.S.R.(2d) 159 (TD);

    83 A.P.R. 159

MLB headnote and full text

A & K Lickachick Franchises Limited v. Cordiv Enterprises Limited, Divito and Cordeau

(No. 27891)

Indexed As: A & K Lick-A-Chick Franchise Ltd. v. Cordiv Enterprises Ltd., Divito and Cordeau

Nova Scotia Supreme Court

Trial Division

Richard, J.

January 9, 1981.

Summary:

This case arose out of the plaintiff franchising company's action to enforce a franchise agreement against a franchisee. The Nova Scotia Supreme Court, Trial Division, dismissed the action on the ground that the franchise agreement was unconscionable and void.

Contracts - Topic 4701

Discharge on termination - By notice - General - The Nova Scotia Supreme Court, Trial Division, held that a contract, which has no fixed term, is determinable on reasonable notice - See paragraphs 28 to 29.

Contracts - Topic 9204

Unconscionable transactions relief - General principles - Requirement of inequality in bargaining position plus improvident transaction - The Nova Scotia Supreme Court, Trial Division, held that a transaction is unconscionable, if it is sufficiently divergent from community standards or manifests a substantial inequality of bargaining power between the parties - See paragraphs 24 to 27.

Contracts - Topic 9353

Unconscionable transactions relief - Conditions for relief - Unequal bargaining positions - What constitutes - The plaintiff franchiser induced one of its franchisees to enter a new franchising agreement by using threats of competition, where the franchisee was already in an insecure business position and was prevented from seeking independent advice - The Nova Scotia Supreme Court, Trial Division, held that the franchisee was in an inferior bargaining position to the franchisor - See paragraphs 24 to 27.

Cases Noticed:

Llanelly Railway and Dock Company v. London and Northwestern Railway Company (1872-73), 8 L.R., ch. App. 942, not folld. [para. 28].

Martin-Baker Aircraft Co. Ltd. v. Canadian Flight Equipment Ltd. et al., [1955] 2 Q.B. 556, appld. [para. 28].

Counsel:

Ross H. Haynes, for the plaintiff;

Ronald N. Pugsley, for the defendants.

This case was heard on December 8 and 9, 1980, at Halifax, Nova Scotia, before RICHARD, J., of the Nova Scotia Supreme Court, Trial Division, who delivered the following judgment on January 9, 1981:

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7 practice notes
  • Table of cases
    • Canada
    • Irwin Books Archive The Law of Contracts. Second Edition Remedies
    • August 29, 2012
    ...613 A & K Lick-a-Chick Franchises Ltd. v. Cordiv Enterprises Ltd. (1981), 44 N.S.R. (2d) 159, 119 D.L.R. (3d) 440, [1981] N.S.J. No. 335 (T.D.)............................................................................................ 434, 449, 785 A v. Bottrill (2002), [2002] UKPC 44, [20......
  • Table of cases
    • Canada
    • Irwin Books Franchise Law
    • June 17, 2005
    ...353 (T.D.)..................................................... 329 A. & K. Lick-A-Chick Franchises Ltd. v. Cordiv Enterprises Ltd., 44 N.S.R. (2d) 159, 119 D.L.R. (3d) 440, [1981] N.S.J. No. 335 (S.C.).................312, 313 AAMCO Transmissions Inc. v. Kunz, 97 Sask. R. 5, [1991] S.J. No......
  • Kings County (Municipality) v. Berwick (Town) et al., 2010 NSSC 128
    • Canada
    • Nova Scotia Supreme Court of Nova Scotia (Canada)
    • April 12, 2010
    ...3 All E.R. 769 (C.A.), refd to. [para. 121]. A & K Lick-A-Chick Franchise Ltd. v. Cordiv Enterprises Ltd., Divito and Cordeau (1981), 44 N.S.R.(2d) 159; 83 A.P.R. 159; 1981 CarswellNS 113 (T.D.), refd to. [para. Martin-Baker Aircraft Co. v. Canadian Flight Equipment Ltd.; Martin-Baker A......
  • Kings County (Municipality) v. Berwick (Town) et al., 2010 NSSC 128
    • Canada
    • Nova Scotia Supreme Court of Nova Scotia (Canada)
    • April 12, 2010
    ...3 All E.R. 769 (C.A.), refd to. [para. 121]. A & K Lick-A-Chick Franchise Ltd. v. Cordiv Enterprises Ltd., Divito and Cordeau (1981), 44 N.S.R.(2d) 159; 83 A.P.R. 159; 1981 CarswellNS 113 (T.D.), refd to. [para. Martin-Baker Aircraft Co. v. Canadian Flight Equipment Ltd.; Martin-Baker A......
  • Request a trial to view additional results
5 cases
  • Kings County (Municipality) v. Berwick (Town) et al., 2010 NSSC 128
    • Canada
    • Nova Scotia Supreme Court of Nova Scotia (Canada)
    • April 12, 2010
    ...3 All E.R. 769 (C.A.), refd to. [para. 121]. A & K Lick-A-Chick Franchise Ltd. v. Cordiv Enterprises Ltd., Divito and Cordeau (1981), 44 N.S.R.(2d) 159; 83 A.P.R. 159; 1981 CarswellNS 113 (T.D.), refd to. [para. Martin-Baker Aircraft Co. v. Canadian Flight Equipment Ltd.; Martin-Baker A......
  • Kings County (Municipality) v. Berwick (Town) et al., 2010 NSSC 128
    • Canada
    • Nova Scotia Supreme Court of Nova Scotia (Canada)
    • April 12, 2010
    ...3 All E.R. 769 (C.A.), refd to. [para. 121]. A & K Lick-A-Chick Franchise Ltd. v. Cordiv Enterprises Ltd., Divito and Cordeau (1981), 44 N.S.R.(2d) 159; 83 A.P.R. 159; 1981 CarswellNS 113 (T.D.), refd to. [para. Martin-Baker Aircraft Co. v. Canadian Flight Equipment Ltd.; Martin-Baker A......
  • DeWolfe v. Mansour and Tru-Kent Developments Ltd., (1986) 73 N.S.R.(2d) 110 (TD)
    • Canada
    • Nova Scotia Supreme Court of Nova Scotia (Canada)
    • April 10, 1986
    ...1 All E.R. 821, appld. [para. 17]. A & K Lick-a-Chick Franchises Limited v. Cordiv Enterprises Limited, Divito and Cordeau (1981), 44 N.S.R.(2d) 159; 83 A.P.R. 159, dist. [para. Ronald Elwyn Lister v. Dunlop Canada (1979), 27 O.R.(2d) 168, appld. [para. 27]. Authors and Works Noticed: F......
  • Don Car Leasing Ltd. v. Strickland, (1993) 123 N.S.R.(2d) 421 (SC)
    • Canada
    • Nova Scotia Supreme Court of Nova Scotia (Canada)
    • May 28, 1993
    ...201; 128 A.P.R. 201 (T.D.), dist. [para. 16]. A & K Lick-A-Chick Franchise Ltd. v. Cordiv Enterprises Ltd., Divito and Cordeau (1981), 44 N.S.R.(2d) 159; 83 A.P.R. 159 (T.D.), dist. [para. Pizzo v. Crory, Laws and Charterhouse Equities Ltd. et al. (1986), 71 N.S.R.(2d) 419; 171 A.P.R. 4......
  • Request a trial to view additional results
2 books & journal articles
  • Table of cases
    • Canada
    • Irwin Books Archive The Law of Contracts. Second Edition Remedies
    • August 29, 2012
    ...613 A & K Lick-a-Chick Franchises Ltd. v. Cordiv Enterprises Ltd. (1981), 44 N.S.R. (2d) 159, 119 D.L.R. (3d) 440, [1981] N.S.J. No. 335 (T.D.)............................................................................................ 434, 449, 785 A v. Bottrill (2002), [2002] UKPC 44, [20......
  • Table of cases
    • Canada
    • Irwin Books Franchise Law
    • June 17, 2005
    ...353 (T.D.)..................................................... 329 A. & K. Lick-A-Chick Franchises Ltd. v. Cordiv Enterprises Ltd., 44 N.S.R. (2d) 159, 119 D.L.R. (3d) 440, [1981] N.S.J. No. 335 (S.C.).................312, 313 AAMCO Transmissions Inc. v. Kunz, 97 Sask. R. 5, [1991] S.J. No......

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