Jean Delage

The debtor filed for bankruptcy after repaying the Bank, and the trustee brought an action in damages against the Bank for inventory lost while the Bank had taken possession.

The Bank brought an action in warranty against its mandataries.

The Superior Court allowed both actions, but the Court of Appeal reversed, finding no evidence of gross fault to set aside the Bank's liability exclusion clause.

The Supreme Court of Canada dismissed the appeal, finding no error in the Court of Appeal's judgment.

The appellant bank appealed against the respondents in an action in warranty.

Concurrently, the principal action appeal was dismissed by the Supreme Court of Canada.

Consequently, the Court held that the appeal in the action in warranty had become unnecessary and dismissed it without costs.