No reason for property owner to have agreed to give up its entitlement to have contractor pay deductibles

Ontario civil | Construction Law | Contracts | Building contracts

Contractor originally claimed entitlement to $7,451,662.65 from property owner, according to terms of settlement agreement. Contractor's application for these funds was dismissed. Application judge found that contractor was to pay applicable deductibles, despite ambiguity in term of release. Contractor appealed from application judge's findings. Appeal dismissed. There was no ambiguity in release. Parties clearly intended to protect their rights, under applicable insurance policy. There was no palpable error or question of law in application judge's decision. There was no reason for property owner to have agreed to give up its entitlement to have contractor pay deductibles.

Crosstown Transit Constructors v. METROLINX (2019), 2019 CarswellOnt 4572, 2019 ONCA 240, K. Feldman J.A., Janet Simmons J.A., and I.V.B. Nordheimer J.A. (Ont. C.A.); affirmed (2018), 2018 CarswellOnt 12567, 2018 ONSC 4650, Wilton-Siegel J. (Ont. S.C.J.).


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