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Contractor awarded unpaid invoices under oral time-and-materials contract; homeowners' deficiency counterclaim dismissed.
The plaintiff contractor sued the defendant homeowners for unpaid invoices totaling approximately $35,000 relating to a new home build.
The parties had an oral "time and materials" contract.
The defendants counterclaimed, alleging overcharges for labour, improper 15% mark-ups on materials and subcontractors, and damages for deficient work.
The court found the agreed labour rate was $60/hour for the primary carpenters and $40/hour for general labourers.
The court disallowed the 15% mark-up on materials as it was not an express or implied term, but allowed the mark-up on most subcontractors on a quantum meruit basis.
The defendants' counterclaim for deficiencies was dismissed for lack of proof.
The plaintiff was granted judgment subject to set-offs for the disallowed mark-ups, and a declaration for a construction lien.
The court dismissed a motion to enjoin dock usage, finding the underlying application frivolous.
The applicants sought judicial review of a work permit issued by the Ministry of Natural Resources and Forestry (MNRF) to the Michauds for the construction of a dock, walkway, and parking area on their property, which was a former gold mine site.
The applicants also sought an interim order to stay the permit and enjoin further development and use of the completed dock, citing environmental concerns and commercial use inconsistencies with the Clearwater Bay Restricted Area Order.
The court applied the three-part RJR-MacDonald test for an interlocutory injunction.
The court found no serious issue to be tried regarding the construction of the shed and the overall judicial review application, deeming it frivolous and vexatious.
Furthermore, the court determined that the applicants would not suffer irreparable harm from the interim use of the dock and that the balance of inconvenience favored denying the injunction.
The motion for an interim order was dismissed, and the application was to be transferred to the Divisional Court after costs were determined.