The appellant property owner entered into a contract with the respondent builder for the construction of a luxury home, paying a $3.8 million non-refundable deposit.
After the appellant failed to pay over $10.4 million in interim invoices, the respondent obtained summary judgment.
The appellant appealed solely on the issue of whether the deposit should be credited against the judgment.
The Divisional Court dismissed the appeal, holding that the deposit was intended to secure completion of the contract and was forfeit due to the appellant's breach, rather than acting as a prepayment for interim invoices.
