This appeal and cross-appeal arose from a landlord's application for a writ of possession and related disputes over a security deposit and roof repair costs.
The Court of Appeal allowed both the landlord's appeal regarding the interpretation of a lease clause concerning the return of a security deposit and the tenant's cross-appeal concerning the amortization of roof replacement costs.
The court found the application judge erred in interpreting the deposit clause, as the deposit was only returnable if the tenant was not in default, which they were.
The court also found the application judge failed to address the tenant's argument that the roof replacement was a capital expense to be amortized over its useful life, not just two years.
The relevant paragraphs of the lower court's judgment were struck, and no costs were awarded due to mixed success.