The appellants brought a proposed class action against a washing machine manufacturer, alleging that its front-loading machines were defectively designed and prone to developing mould and unpleasant odours.
They sought damages for pure economic loss, asserting claims for breach of express and implied warranties, breach of the Competition Act, negligence, and waiver of tort.
The Court of Appeal upheld the motion judge's decision to dismiss the certification motion, finding that none of the claims disclosed a reasonable cause of action.
Notably, the court held that policy considerations negate recognizing a duty of care in tort for pure economic loss arising from a defective, non-dangerous consumer product.