The Minister of Fisheries and Oceans authorized the issuance of offshore lobster licences to the appellant but later revoked the authorization before the licences were issued, citing government policy and lobbying by inshore fishermen.
The appellant sued the Crown in negligence for economic loss incurred in preparing its vessels.
The Supreme Court of Canada held that under section 7 of the Fisheries Act, the Minister's power to authorize the issuance of a licence is a continuing power, allowing revocation at any time prior to actual issuance.
Consequently, the Minister acted within his statutory authority and was not liable in negligence.