Coverdale v. Lason Canada Company, 2001 ONCA 2866

Court of Appeal for Ontario

DATE: 20011026 DOCKET: C36403

RE: JAMES EMERSON COVERDALE, DOREEN ANNE COVERDALE AND JAMES SHARPLES AS TRUSTEES OF THE COVERDALE FAMILY TRUST (Plaintiffs (Respondents)) – and – LASON CANADA COMPANY, LASON, INC. and BANK ONE, MICHIGAN (Defendants (Appellants))

BEFORE: ABELLA, GOUDGE AND SIMMONS JJ.A.

COUNSEL: Howard B. Borlack and Lisa La Horey For the appellant

Kevin McElcheran and Ruth Promislow For the respondent

HEARD: October 22, 2001

On appeal from the judgment of Justice Peter C. Jarvis dated May 2, 2001.

E N D O R S E M E N T

Released Orally October 22, 2001

1The central issue on this appeal is whether Mr. Justice Jarvis erred in finding no evidence of a misrepresentation disentitling the respondent from relying on the December 17, 1999 agreement.

2In our view, he did not err.

3While there may be differing views on the accounting approach appropriate to making the pay-out calculation, it cannot be said that because Michael Coverdale, the Chief Financial Officer of the appellant held one view, the agreement based on his advice is therefore based on a misrepresentation undoing its legal effect. His view was not a secret from the appellant.

4Mr. Justice Jarvis properly concluded that the appellant was bound by the December 17, 1999 agreement and there was no genuine issue for trial about its legal effect.

5Therefore, despite Mr. Borlack’s able argument, the appeal is dismissed with costs.