David Swift

The plaintiff subcontractor and defendant general contractor both brought summary judgment motions in a contract dispute arising from a highway bridge construction project.

The plaintiff claimed the unpaid balance of its contract, while the defendant claimed damages for delays caused by the plaintiff's admitted negligence, which resulted in the owner assessing liquidated damages against the defendant.

The court held that the exclusion of liability clause in the plaintiff's estimate did not protect it from damages arising from its own negligence.

The court awarded judgment to both parties and applied legal set-off, resulting in a net judgment in favour of the defendant.

The appellant appealed a summary judgment finding her personally liable to the respondent bank under section 100 of the Bankruptcy and Insolvency Act.

The motion judge found that the appellant's company and her father's bankrupt company engaged in a non-arm's length transaction for less than fair market value, and that the appellant was privy to the transaction.

The Court of Appeal dismissed the appeal, holding that the appellant, as the sole principal and controlling mind of her company, was privy to the transaction because she had knowledge of it and benefited from it.

The respondent's cross-appeal for substantial indemnity costs was also dismissed.