Paul Miller

The appellant agreed to purchase a property from the respondent.

Prior to closing, the building was destroyed by fire.

The agreement provided that the purchaser could either take the insurance proceeds and complete the purchase, or cancel the agreement.

The purchaser registered a statutory declaration stating he would only complete the purchase if the premises were restored or if sufficient insurance proceeds were guaranteed to restore them.

The vendor treated this as a repudiation of the agreement and refused a later tender.

The Supreme Court of Canada held that the purchaser's declaration dictated terms beyond the agreement, amounting to a repudiation that the vendor was entitled to accept.

The appeal was dismissed.