Koch v. Nelson Lumber Co., (1980) 2 Sask.R. 303 (CA)

• Judge: Woods, Brownridge and Bayda, JJ.A.
• Court: Court of Appeal (Saskatchewan)
• Case Date: March 26, 1980
• Jurisdiction: Saskatchewan
• Citations: (1980), 2 Sask.R. 303 (CA);1980 CanLII 2074 (SK CA);111 DLR (3d) 140;[1980] 4 WWR 715;13 CCLT 201;2 Sask R 303

Koch v. Nelson Lumber Co. (1980), 2 Sask.R. 303 (CA)

MLB headnote and full text

Koch v. Nelson Lumber Co. Ltd.

(No. 6849)

Indexed As: Koch v. Nelson Lumber Co.

Saskatchewan Court of Appeal

Woods, Brownridge and Bayda, JJ.A.

March 26, 1980.

Summary:

This case arose out of a claim for damages against a manufacturer of prefabricated homes for negligently referring the buyer of a home to a builder. The builder was an undischarged bankrupt which the manufacturer failed to disclose to the plaintiff. The builder abandoned construction of the plaintiff's home when it was 65% completed. The trial court allowed the plaintiff's action for damages against the manufacturer. The judgment of the trial court is not reported in this series of reports. The manufacturer appealed to the Saskatchewan Court of Appeal.

The Saskatchewan Court of Appeal dismissed the appeal.

Compare McLenaghan v. Nixon, 1 Sask.R. 101.

Torts - Topic 8988

Duty of care - Negligent words - What constitutes negligent advice - A manufacturer of prefabricated homes sold a home to the plaintiff - The plaintiff told the manufacturer that he wanted a completed home and the manufacturer referred the plaintiff to a builder - The manufacturer failed to tell the plaintiff that the builder was an undischarged bankrupt - The builder abandoned construction of the plaintiff's home when it was 65% completed - The Saskatchewan Court of Appeal allowed the plaintiff's action for damages against the manufacturer for negligent advice - The Court of Appeal stated that the manufacturer was negligent in failing to disclose the fact of the builder's bankruptcy to the plaintiff.

Cases Noticed:

Hedley Byrne & Co. v. Heller & Partners Ltd., [1963] 2 All E.R. 575, refd to. [paras. 11, 26].

Mutual Life & Citizens Assurance Co. Ltd. et al. v. Evatt, [1971] A.C. 793, refd to. [para. 22].

Hodgins v. Hydro-Electric Commission of Nepean (1976), 60 D.L.R.(3d) 1, refd to. [para. 22].

J. Nunes Diamonds Ltd. v. Dominion Electric Company, [1972] S.C.R. 769, refd to. [paras. 22, 59].

Town of Le Pas v. Porky Packers Ltd., 7 N.R. 569; [1977] 1 S.C.R. 51, refd to. [para. 22].

Porky Packers Ltd. v. The Town of the Pas, 7 N.R. 569; [1974] 2 W.W.R. 673; 46 D.L.R.(3d) 83, refd to. [para. 43].

Mutual Life and Citizens' Assurance Co. Ltd. v. Evatt, [1971] 1 All E.R. 150, refd to. [para. 46].

Esso Petroleum Co. Ltd. v. Mardon, [1976] 1 Q.B. Division 801, refd to. [para. 49].

Candler v. Crane, Christmas & Co., [1951] 2 K.B. 164, refd to. [para. 49].

Sodd Corporation v. Tessis, 17 O.R.(2d) 158; 79 D.L.R.(3d) 632, refd to. [para. 61].

Authors and Works Noticed:

Charlesworth on Negligence (5th Ed.), 1971, p. 32 [para. 44].

Counsel:

Ronald L. Barclay, Q.C., for the appellant;

Patrick A. Kelly, for the respondent.

This appeal was heard by WOODS, BROWNRIDGE and BAYDA, JJ.A., of the Saskatchewan Court of Appeal.

The judgment of the Saskatchewan Court of Appeal was delivered on March 26, 1980, and the following opinions were filed:

BROWNRIDGE, J.A. - see paragraphs 1 to 25;

BAYDA, J.A. - see paragraphs 26 to 69.

WOODS, J.A., concurred with BROWNRIDGE, J.A.