The defendant appealed a Small Claims Court judgment awarding damages to a purchaser of a used vehicle that had been misrepresented as having all‑wheel drive.
The appellant argued that the trial judge erred in failing to properly consider mitigation and in calculating damages.
The court held that the respondent had taken reasonable steps to mitigate her losses while pursuing rescission through OMVIC and later trading the vehicle in for another.
However, the trial judge erred in including the entire financing cost of the vehicle in the damages calculation.
The appeal was allowed in part and damages were recalculated to reflect the unused value of warranty costs, a deduction for use of the vehicle, and the trade‑in value received.
