Law 410 Contracts CAN O’Byrne Winter 2018 Contracts CAN Winter ‘18 CONSIDERATION ........................................................................................................................................................1 GENERAL ...............................................................................................................................................................1 EXCHANGES AND BARGAINS ..................................................................................................................................1 The Governors of Dalhouise College at Halifax v The Estate of Arthur Boutilier, Deceased................................1 Brantford General Hospital Foundation v Marquis Estate ................................................................................2 Wood v Lucy, Lady Duff-Gordon .....................................................................................................................3 BASIS FOR IMPLIED PROMISE .................................................................................................................................4 Lampleigh v Brathwait ...................................................................................................................................4 BONA FIDE COMPROMISES OF DISPUTES CLAIMS ...................................................................................................4 B.(D.C.) v Arkin ..............................................................................................................................................4 CONSIDERATION: PRE-EXISTING LEGAL DUTY..............................................................................................................5 GENERAL ...............................................................................................................................................................5 DUTY OWED TO A 3RD PARTY ..................................................................................................................................6 Pao On v Lau Yiu Long ....................................................................................................................................6 Illegality Argument ........................................................................................................................................7 DUTY OWED TO THE PROMISOR .............................................................................................................................7 Stilk v Myrick .................................................................................................................................................7 Gilbert Steel Ltd v University Const. Ltd. .........................................................................................................8 Williams v Roffey Bros & Nicholls (Contractors) Ltd. ........................................................................................9 Greater Fredericton Airport Authority Inc v NAV Canada............................................................................... 10 Economic duress (O’Bryne) ........................................................................................................................... 11 SUMMARY FULFILLMENT OF PRE-EXISTING LEGAL DUTY OWED TO A PROMISOR .............................................. 11 REVIEW ........................................................................................................................................................... 11 PROMISES TO ACCPET LESS .................................................................................................................................. 12 Foakes v Beer............................................................................................................................................... 12 PAROLE EVIDENCE RULE ................................................................................................................................... 13 Re Selectmove Ltd........................................................................................................................................ 14 Foot v Rawlings ............................................................................................................................................ 14 Robichaud c Caisse Populaire de Pokemouche Ltee ....................................................................................... 15 Judicature Act RSA 2000, c J-2, s 13(1)........................................................................................................... 16 PROMISSORY ESTOPPEL AND WAIVER .................................................................................................................. 16 Hughes v Metropolitan Railway Company .................................................................................................... 17 Central London Property Trust Ltd v High Trees House Ltd. ........................................................................... 17 John Burrows Ltd v Subsurface Surveys Ltd. .................................................................................................. 19 D&C Builders Ltd. v Rees .............................................................................................................................. 20 Saskatchewan River Bungalows Ltd v Maritime Life Assurance ...................................................................... 21 WJ Alan & Co v El Nasr Export & Import Co ................................................................................................... 22 ESTOPPEL AS A SWORD OR SHIELD ....................................................................................................................... 23 Combe v Combe ........................................................................................................................................... 24 Robichaud v Caisse Populaire (see prior case summary) ................................................................................ 25 INTENTION TO CREATE LEGAL RELATIONS ............................................................................................................. 25 Balfour v Balfour .......................................................................................................................................... 25 PROMISES UNDER SEAL ........................................................................................................................................ 26 Royal Bank v Kiska ....................................................................................................................................... 26 Practice Question on Promissory Estoppel/Duress ........................................................................................ 27 THE REQUIREMENT OF WRITING .............................................................................................................................. 27 PART PERFORMANCE ........................................................................................................................................... 29 Deglman v Guaranty Trust Co. ...................................................................................................................... 29 Thompson v Guaranty Trust Co. ................................................................................................................... 30 PRIVITY OF CONTRACT ............................................................................................................................................. 31 Dunlop Pneumatic Tyre Co. Ltd. v Selfridge & Co. Ltd. ................................................................................... 32 WAYS IN WHICH A THIRD-PARTY MAY ACQUIRE THE BENEFIT ............................................................................... 33 Specific Performance: Beswick v Beswick ...................................................................................................... 33 Beswick v Beswick........................................................................................................................................ 34 TRUST .......................................................................................................................................................... 34 Agency ........................................................................................................................................................ 35 New Zealand Shipping Co. Ltd. v AM Satterthwaite & Co Ltd. ........................................................................ 35 London Drugs Ltd. v Keuhne & Nagel International Ltd. ................................................................................. 36 Edgeworth Construction Ltd v ND LEA & Associates Ltd ................................................................................. 37 Fraser River Pile & Dredge Ltd. v Can-Dive Services Ltd. ................................................................................ 38 Privity Summary .......................................................................................................................................... 39 CONTINGENT AGREEMENTS ..................................................................................................................................... 39 Wiebe v Bobsien .......................................................................................................................................... 40 Wiebe v Bobsien .........................................................................................................................................