A consultant sued a corporation for unpaid fees under a month‑to‑month consulting services agreement providing monthly compensation plus expenses.
The defendant argued the contract was frustrated and unenforceable because the consultant could not legally work in Canada without immigration authorization and had failed to secure investment funding.
The court rejected these defences, finding the primary purpose of the contract was to obtain American venture‑capital investment and that the consultant had substantially performed her services from the United States with the defendant’s knowledge and encouragement.
The defendant had waived any requirement that work be performed in Canada and had continued to praise the consultant’s work while failing to pay agreed fees.
Judgment was granted for the outstanding consulting fees with pre‑judgment interest.