The applicants, Robin and Jennifer Lacey, brought an application seeking declarations that a 1968 lease held by Kakabeka Falls Flying Inc. (KFFI) was void ab initio due to contravention of the Planning Act, and sought mandatory orders for possession of the land.
KFFI argued the claims were statute-barred by the Limitations Act, barred by laches, and that the lease was valid due to part performance and proprietary estoppel.
The court found the applicants' claims (except for property taxes) were statute-barred as they had knowledge of their claim in 2010 but did not commence the application until 2017, and they sought consequential relief, negating the no-limitation period for declarations.
The court also found the claims barred by laches due to the applicants' delay and acquiescence (accepting rent).
Furthermore, the court found persuasive evidence of an oral lease and part performance prior to the Planning Act changes, and that proprietary estoppel applied given the applicants' knowledge of the lease upon purchase and their acceptance of rent.
The application for declaration and possession was dismissed, and the discrete issue of property taxes was converted to an action to proceed to trial.