The plaintiffs purchased lots in an industrial subdivision and sued the municipality for negligent misrepresentation, alleging they relied on a letter from the building director indicating building permits would be available.
The plaintiffs claimed the letter failed to disclose that the Ministry of the Environment required a section 45 approval before permits could issue.
The Superior Court of Justice dismissed the action, finding that the letter was not misleading and that the plaintiffs failed to read the subdivision agreement, which explicitly stated the requirement for environmental approval.
The court also held that the action was statute-barred as the plaintiffs ought to have discovered the material facts more than six years before commencing the lawsuit.
