This appeal concerned the suitability of specific performance as a remedy in a failed real estate transaction.
The appellants (defendants) challenged the trial judge's order for specific performance, arguing that the property was not unique and that the corporate purchaser's intent was for investment, not personal use.
The Court of Appeal found that the trial judge erred by relying on inadmissible hearsay evidence regarding the corporate principal's (Mr. Lin's) intentions, as he did not testify and was not proven unavailable.
The court concluded that the corporate structure and expert evidence supported an investment purpose, making damages an adequate remedy.
The appeal was allowed, the specific performance order was set aside, and the issue of damages was remitted for a new trial.
The respondent's cross-appeal on costs was dismissed.