The appellant contractor bid on a railway siding project for the respondent.
Before bidding, the appellant received an inaccurate estimate of the rock excavation volume from the respondent's employee.
The construction contract contained a non-reliance clause stating the contractor did not rely on any information given by the respondent.
When the excavation required substantially more work, the appellant sued for breach of collateral warranty and negligent misrepresentation.
The Supreme Court of Canada dismissed the appeal, holding that the non-reliance clause precluded both the formation of a collateral warranty and the assumption of a duty of care necessary for negligent misrepresentation.
