In the recent decision in British Columbia v. Teal Cedar Products Ltd., the Supreme Court of Canada decided that compound interest could not be awarded in an arbitration arising from a statutory compensation regime. Under that regime, the arbitration was held pursuant to the British Columbia Commercial Arbitration Act (CAA), now the British Columbia Arbitration […]

What is something worth? And if it’s worth something to you, is it worth the same to me? Or is everything in the eyes of the beholder? These are tough questions at the best of times. But they are even tougher in the case of a claim for unjust enrichment. In unjust enrichment, value is […]

An important issue relating to enforcement of an arbitral award is whether the award can be enforced against a party who did not sign the arbitration agreement. If the arbitral tribunal sitting outside Canada finds that party to be a party to the arbitration agreement, even if that person did not sign the agreement, what […]

An incorporated company is the most common form of business organization, and this is no truer than in the construction industry.  One of the purposes of incorporation is to ensure that the liability for the business activities of the organization is solely that of the company and not that of the shareholders.  But what happens […]

The forfeiture of a deposit is one of the major tools for ensuring that contracts are performed.  But there is a debate about whether a deposit can be forfeited if the party forfeiting it has suffered no damages, or damages less than the amount of the deposit.  Until recently in British Columbia, there were decisions […]

We don’t usually think of the law of mistake as having any relevance in the 21st century. Mistake seems to be an 18th century problem which couldn’t possibly apply to today’s building contracts, especially those arising out of the modern law of tender. But the recent decision in Asco Construction Ltd. v. Epoxy Solutions Inc. […]

Payment bonds come in various shapes and sizes and it is important to read them carefully before concluding what they bond. They may not just bond the payment obligation of the party obtaining the bond. They may also bond the payment obligations of all persons on the project.  If they do the latter, then the […]

Most building contracts contain dispute resolution clauses which refer to arbitration.  A dispute resolution clause can be mandatory – it can require arbitration – or it can be permissive – it can permit arbitration if all parties agree to arbitration when the dispute arises. One would think that the most important thing to make clear […]

There are several different remedies provided in construction and builders lien legislation that do not necessarily fit together well. Two remedies available to a subcontractor are the lien claim against the land and the trust fund claim against funds received or receivable by a contractor. In the case of a lien claim, the payment of […]