Sturgeon Tire (1993) Ltd. v. Burron, (2014) 312 Man.R.(2d) 35 (QB)

• Judge: Kaufman, J.
• Court: Court of Queen's Bench of Manitoba (Canada)
• Case Date: December 05, 2014
• Jurisdiction: Manitoba
• Citations: (2014), 312 Man.R.(2d) 35 (QB);2014 MBQB 240

Sturgeon Tire v. Burron (2014), 312 Man.R.(2d) 35 (QB)

MLB headnote and full text

Temp. Cite: [2014] Man.R.(2d) TBEd. DE.012

Sturgeon Tire (1993) Ltd. (plaintiff) v. Ramon Clifford Burron and Norma Evelyn Burron (defendants)

(CI 13-01-81956; 2014 MBQB 240)

Indexed As: Sturgeon Tire (1993) Ltd. v. Burron

Manitoba Court of Queen's Bench

Winnipeg Centre

Kaufman, J.

December 5, 2014.

Summary:

The tenant sought to exercise its right under an option to purchase agreement (OA). The tenant had remained in occupation of the premises since 1996 through three lease renewals in 1998, 2003 and 2008. The landlord asserted that the OA was without force and effect because the tenant had failed to exercise its option to renew the lease in accordance with the lease's terms regarding written renewal and specific service requirements. The landlord counterclaimed, asserting that the tenant was overholding. Each sought summary judgment.

A Master of the Manitoba Court of Queen's Bench, in a decision reported at (2014), 304 Man.R.(2d) 187, granted the tenant's motion for summary judgment, dismissing the landlord's counterclaim. The lease was never terminated. The option to purchase agreement remained viable. The landlord appealed.

The Manitoba Court of Queen's Bench dismissed the appeal.

Landlord and Tenant - Topic 2368

The lease - Options to purchase - Exercise of - The tenant sought to exercise its right under an option to purchase agreement (OA) - The tenant had remained in occupation of the premises since 1996 through three lease renewals in 1998, 2003 and 2008 - The landlord asserted that the OA was without force and effect because the tenant had failed to exercise its option to renew the lease in accordance with the lease's terms regarding written renewal and specific service requirements - The landlord counterclaimed, asserting that the tenant was overholding - Each sought summary judgment - A Master granted the tenant's motion for summary judgment, dismissing the landlord's counterclaim, finding that the landlord had clearly waived its right to compliance with the lease's provisions regarding renewal and that the lease was never terminated - The Manitoba Court of Queen's Bench dismissed the landlord's appeal - The court rejected the landlord's assertion that, as the tenant had not provided any evidence of appropriate renewal of the lease, the OA had expired and any rent that was paid was as an overholding tenant - All of the evidence pointed to the contrary - The landlord continued to take rent under the lease - All parties treated the lease as if it was appropriately continued - It would be unfair to allow the landlord to now take the position that the lease was not continued.

Landlord and Tenant - Topic 2382

The lease - Renewals - What constitutes an enforceable renewal - [See Landlord and Tenant - Topic 2368 ].

Landlord and Tenant - Topic 2391

The lease - Renewals - Option to renew - What constitutes exercise of - [See Landlord and Tenant - Topic 2368 ].

Landlord and Tenant - Topic 2825

The lease - Breach by tenant - Waiver of - [See Landlord and Tenant - Topic 2368 ].

Landlord and Tenant - Topic 6525

Termination, forfeiture and reentry - Termination - Acts constituting - [See Landlord and Tenant - Topic 2368 ].

Cases Noticed:

Directors Film Co. v. Vinifera Wine Services Inc. et al. (1998), 57 O.T.C. 65; 38 O.R.(3d) 212 (Gen. Div.), refd to. [para. 23].

2438667 Manitoba Ltd. et al. v. Husky Oil Ltd. et al. (2007), 214 Man.R.(2d) 257; 395 W.A.C. 257; 2007 MBCA 77, refd to. [para. 24].

Amalgamated Investment & Property Co. (In Liquidation) v. Texas Commerce International Bank Ltd., [1981] 3 All E.R. 577 (C.A.), refd to. [para. 25].

Cruickshank Construction Ltd. v. Durrett Companies Ltd. et al., [2013] O.T.C. Uned. 3209; 2013 ONSC 3209, refd to. [para. 30].

441 Main Inc. v. Silver Pawn Pictures Inc. (2013), 294 Man.R.(2d) 207; 581 W.A.C. 207; 2013 MBCA 70, refd to. [para. 31].

Ross v. Eaton (T.) Co. (1992), 58 O.A.C. 366; 11 O.R.(3d) 115 (C.A.), refd to. [para. 32].

Counsel:

Richard Buchwald, for the plaintiff;

William Gange, for the defendants.

This appeal was heard by Kaufman, J., of the Manitoba Court of Queen's Bench, Winnipeg Centre, who delivered the following judgment on December 5, 2014.