The appellants' basement was flooded and sustained substantial damage due to a blocked storm sewer operated by the respondent municipality.
The trial judge allowed the appellants' claim in nuisance and under the rule in Rylands v. Fletcher.
The Court of Appeal reversed the decision, finding no negligence and applying the defence of statutory authority.
The Supreme Court of Canada allowed the appeal, holding that while Rylands v. Fletcher did not apply, the flooding constituted an actionable nuisance.
The Court found that the defence of statutory authority was not available to the municipality, as the authorizing legislation was permissive and the municipality failed to establish that the nuisance was the inevitable consequence of its statutory mandate.
