Mark A. Mason

The appellant rented a hot water heater to the respondent.

The heater leaked, causing property damage.

The trial judge found the appellant liable based on an implied warranty of fitness, and the Divisional Court dismissed the appeal.

On further appeal, the Court of Appeal held that section 9(2) of the Consumer Protection Act, 2002 applied retrospectively to the rental agreement, importing the implied warranty of fitness from section 15 of the Sale of Goods Act.

The court found the appellant breached this warranty because the water heater was not reasonably fit for its purpose.

The appeal was dismissed.

The respondents suffered property damage when their rented hot water heater leaked.

They brought a subrogated claim in Small Claims Court and were awarded damages.

The appellant's appeal to the Divisional Court was dismissed.

The Court of Appeal dismissed the appellant's further appeal, relying on the reasons given in the companion case of Szilvasy v. Reliance Home Comfort Limited Partnership, which involved the application of s. 9(2) of the Consumer Protection Act, 2002 to the rental of a hot water heater.