The appellant condominium corporation appealed a Small Claims Court decision awarding damages to its former property management company for breach of a restrictive covenant.
The trial judge had awarded damages that included lost profits from both the appellant and a neighbouring condominium corporation that had also terminated its contract.
The Divisional Court allowed the appeal, finding that the trial judge erred in holding the appellant liable for losses attributable to the neighbouring corporation, which was not bound by the restrictive covenant.
The damages award was reduced accordingly.
