Quebec Hydro v. City of, (1978) 21 N.R. 417 (SCC)

• Judge: Ritchie, Pigeon, Dickson, Beetz and Pratte, JJ.
• Court: Supreme Court of Canada
• Case Date: February 07, 1978
• Jurisdiction: Canada (Federal)
• Citations: (1978), 21 N.R. 417 (SCC);[1978] 2 SCR 529;1978 CanLII 191 (SCC)

Que. Hydro v. Saint-Laurent (1978), 21 N.R. 417 (SCC)

MLB headnote and full text

Quebec Hydro v. City of Saint-Laurent

Indexed As: Quebec Hydro v. City of

Saint-Laurent

Supreme Court of Canada

Ritchie, Pigeon, Dickson, Beetz and Pratte, JJ.

February 7, 1978.

Summary:

This case arose out of the taxation of certain property as immovables by the City of Saint-Laurent, Quebec. The city taxed as immovables certain transformers, switchboards, circuit breakers and related accessories used in a substation operated by Quebec Hydro for the purpose of distributing electric power. The Quebec Provincial Court held that the property in question was immovable and taxable. Quebec Hydro appealed to the Quebec Court of Appeal.

The Quebec Court of Appeal allowed the appeal and held that the property in question was not immovable by nature. The Court of Appeal reduced the taxpayer's assessment by $1,897,224.00. The City of Saint-Laurent appealed to the Supreme Court of Canada.

The Supreme Court of Canada dismissed the appeal and affirmed the judgment of the Quebec Court of Appeal. The Supreme Court of Canada stated that the equipment in question was not an integral part of a building and did not become immovable in nature because the equipment was essential for the distribution of electric power.

Real Property Tax - Topic 1556

Property liable to assessment - Real property - Immovable defined - The City of Saint-Laurent, Quebec, pursuant to s. 488 of the Cities and Towns Act, taxed, as immovables, certain transformers, switchboards, circuit breakers and related accessories used in a substation operated for the purpose of distributing electric power - The Supreme Court of Canada held that such property was not immovable and accordingly was not taxable.

Words and Phrases

Immovable - The Supreme Court of Canada discussed the meaning of the word "immovable" as found in s. 488 of the Quebec Cities and Towns Act, R.S.Q. 1964, c. 193.

Cases Noticed:

Aluminium du Canada Ltée v. La Corporation Municipale du village de Melocheville, [1973] S.C.R. 792, refd to. [paras. 10 and 45].

Montreal Light, Heat and Power Consolidated v. City of Westmount, [1926] S.C.R. 515, refd to. [paras. 16 and 51].

Lower St. Lawrence Power Co. v. L'Immeuble Landry Ltée, [1926] S.C.R. 655, refd to. [paras. 16 & 51].

Bell Telephone Company of Canada v. Ville St-Laurent, [1936] A.C. 73, refd to. [paras. 18 & 53].

Montreal Light, Heat and Power Consolidated v. Outremont City, [1932] A.C. 423, refd to. [paras. 18 & 53].

Cablevision (Montreal) Inc. v. Deputy Minister of Revenue of the Province of Quebec, 19 N.R. 131, refd to. [paras. 27 & 62].

Statutes Noticed:

Cities and Towns Act, R.S.Q. 1964, c. 193, sect. 488 [para. 5 and 40].

Counsel:

Irving Gaul and Louise Belanger, for the appellant, City of Saint-Laurent;

Gilles Legault and Gilles Marchand, for the respondent, Quebec Hydro.

This appeal was heard by RITCHIE, PIGEON, DICKSON, BEETZ and PRATTE, JJ., at Ottawa, Ontario, on November 3 and 4, 1977.

The judgment of the Supreme Court of Canada was delivered by PRATTE, J., on February 7, 1978 - see paragraphs 1 to 35 (English language judgment) and paragraphs 36 to 70 (French language judgment).