The appellant represented a class of investors who purchased strata lots in a Hilton hotel developed by the respondent.
The respondent also developed an adjacent Marriott hotel and offered different financial arrangements to the Marriott purchasers, including a guaranteed rate of return, which were not disclosed to the Hilton purchasers.
The appellant sued for misrepresentation under the Real Estate Act, common law negligent misrepresentation, and breach of fiduciary duty.
The Supreme Court of Canada dismissed the appeal, holding that the appellant failed to prove the omitted information was material to a reasonable investor.
The Court also found the respondent had a valid statutory defence, did not breach the standard of care for negligent misrepresentation, and did not breach its fiduciary duties as manager.
