The appellants appealed a Small Claims Court judgment ordering them to pay rent arrears and accelerated rent under a commercial lease.
The appellants argued the lease was void ab initio because the zoning bylaw did not permit their auto leasing business without a minor variance or operating in conjunction with an auto repair shop.
The Divisional Court dismissed the appeal, finding that the lease expressly placed the obligation on the tenant to obtain all necessary permits and comply with zoning laws at its own expense.
The tenant's failure to seek a variance or arrange its business to comply with the bylaw did not render the contract void.