Awan v. Quorum Funding Corp. et al., (1996) 18 O.T.C. 201 (GD)
Judge | Spence, J. |
Court | Ontario Court of Justice General Division (Canada) |
Case Date | October 01, 1996 |
Jurisdiction | Ontario |
Citations | (1996), 18 O.T.C. 201 (GD) |
Awan v. Quorum Funding Corp. (1996), 18 O.T.C. 201 (GD)
MLB headnote and full text
Mohammad Idris Awan (plaintiff) v. Quorum Funding Corporation, YCL Capital Corporation, Canadian Imperial Bank of Commerce and Amnicon Corporation (defendants)
(Court File No. 46665/90Q)
(Commercial Court File No. B185/95)
Indexed As: Awan v. Quorum Funding Corp. et al.
Ontario Court of Justice
General Division
Spence, J.
November 8, 1996.
Summary:
The Canadian Imperial Bank of Commerce (CIBC) offered investor immigration advice to its customers. As a result of such advice, Awan invested $250,000 in Amnicon through a joint venture on March 26, 1987. Quorum Funding Corp. managed the joint venture. The joint venture agreement gave Awan the option of a refund of his investment, if he did not receive a Canadian immigrant's visa within 12 months of the agreement. Awan was denied a landed immigrant visa, but offered a Minister's Permit. By December 1988, Amnicon was facing bankruptcy. Around the middle of 1989, Amnicon was insolvent. On June 12, 1989, Awan requested a refund from Quorum. Quorum denied the request. Awan sued Quorum and CIBC. In defence, Quorum asserted that: Awan failed to make full disclosure about his medical history (misrepresentation by silence), the refund option did not arise because Awan had been offered a Minister's Permit, and the refund had to be claimed within a 12 month period.
The Ontario Court (General Division) held that there was no misrepresentation because: Awan was under no duty to make the medical disclosure, Awan was under no obligation to accept a Minister's Permit instead of an immigrant visa as satisfying the bargain he made, and there was no basis in the agreement for the assertion that a refund had to be claimed within 12 months of making the agreement. The court held that the proper interpretation of the provision was that the option had to be exercised within a reasonable period of time and Awan failed to do so. The court dismissed the action.
Aliens - Topic 1213
Admission - Immigrants - General - Entrepreneurs and investors - See paragraphs 1 to 33.
Contracts - Topic 1541
Formation of contract - Duty to disclose - General - See paragraph 21.
Contracts - Topic 1604
Formation of contract - Mistake, misunderstanding or misrepresentation - Misrepresentation - What constitutes - See paragraph 21.
Contracts - Topic 2058
Terms - Implied terms - Termination - Notice of - See paragraphs 23 to 31.
Fraud and Misrepresentation - Topic 2707
Misrepresentation - What constitutes misrepresentation - Falsity by silence - See paragraph 21.
Counsel:
M.L.J. Edwards and D. Heeds, for the plaintiff;
C. Ashby, for the defendant, Quorum Funding Corp.;
J.A. Aucoin, for the defendant, Canadian Imperial Bank of Commerce.
This action was heard on September 30 and October 1, 1996, by Spence, J., of the Ontario Court (General Division), who released the following judgment on November 8, 1996.
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Awan v. Quorum Funding Corp., (1999) 122 O.A.C. 67 (CA)
...inter alia, that the refund had to be claimed within a 12 month period. The Ontario Court (General Division), in a decision reported at 18 O.T.C. 201, dismissed the action. The court held, inter alia, that there was no basis in the agreement for the assertion that a refund had to be claimed......
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Awan v. Quorum Funding Corp., (1999) 122 O.A.C. 67 (CA)
...inter alia, that the refund had to be claimed within a 12 month period. The Ontario Court (General Division), in a decision reported at 18 O.T.C. 201, dismissed the action. The court held, inter alia, that there was no basis in the agreement for the assertion that a refund had to be claimed......