The parties were joint venturers in property development who had a falling out, leading to the appointment of a Receiver to sell properties in Waterloo, London, and Oshawa.
The motion judge approved the Receiver's amended sales process, which included a stalking horse offer from the respondent, despite finding that the respondent had engaged in tactical conduct to derail the original sales process.
On appeal, the Court of Appeal held that the motion judge erred by disregarding the respondent's conduct when exercising her discretion, as the conduct undermined the integrity of the court-supervised sales process.
The appeal was allowed in part, and the Waterloo property was ordered sold to the appellant in accordance with his original bid.