This decision addresses a reference ordered by Kimmel, J. to resolve disputes between a Landlord (2356802 Ontario Corp.) and a Tenant (285 Spadina SPV Inc.) regarding the Tenant's use of a $3,164,000 construction allowance.
The Landlord sought reimbursement for funds allegedly misspent on non-Landlord's Work.
The Tenant, through Ronald Hitti (also a respondent), argued against the need for accounting and, alternatively, that all funds were properly used.
The court found that the Tenant failed to adequately account for a significant portion of the allowance, ordering 285 Spadina SPV Inc. to reimburse $1,501,139.64 and Ronald Hitti personally to reimburse $3,500.