The SCC releases its decision in Bhasin v. Hrynew, a case which originated in Alberta, and decides that all contracts in Canada should be interpreted as imposing an obligation of good faith. Says the Court:
The key issues on this appeal come down to two, straightforward questions: Does Canadian common law impose a duty on parties to perform their contractual obligations honestly? And, if so, did either of the respondents breach that duty? I would answer both questions in the affirmative. Finding that there is a duty to perform contracts honestly will make the law more certain, more just and more in tune with reasonable commercial expectations. It will also bring a measure of justice to the appellant, Mr. Bhasin, who was misled and lost the value of his business as a result.
A few stories and posts finding their way online already regarding the case:
Alberta will be stuck defending an anti-fracking lawsuit brought by Jessica Ernst. And has to pay treble costs for its failed efforts to punt the case:
Interesting case out of Ontario dealing with cumulative misconduct giving rise to just cause for termination: