The appellant church appealed a Small Claims Court decision granting the co-defendant full indemnity for a $5,700 claim by the plaintiffs.
The co-defendant had operated a nursery school on the appellant's premises under an oral commercial lease and sought to transfer the lease to the plaintiffs upon selling the business.
The appellant provided a letter consenting to the transfer, which the co-defendant relied upon to complete the sale, but the appellant later terminated the lease.
The Divisional Court dismissed the appeal, finding the trial judge was not patently wrong in allowing the indemnity claim based on the co-defendant's detrimental reliance on the consent.
