A commercial tenant vacated leased premises and removed most furnishings and assets.
The landlord sought partial summary judgment under section 50 of the Commercial Tenancies Act for twice the value of goods removed.
The motion judge granted summary judgment, finding the tenant and its principals liable.
The appellants appealed, arguing the motion judge failed to properly apply the two-step analytical framework established in Hryniak v. Mauldin.
The Court of Appeal allowed the appeal, finding that while the motion judge addressed the first step of the Hryniak analysis, he failed to address the second step regarding how factual disputes should be determined.
The court found genuine factual issues existed between the parties regarding whether the landlord had consented to the removal of assets, and the motion judge improperly resolved these conflicts based on credibility findings without proper consideration of the appropriate mechanism for resolving disputed facts.