1284225 Ontario Limited (Applicant) appealed a Superior Court decision related to the interpretation of a parking agreement made on May 19, 1972, with Don Valley Business Park Corporation and others (Appellants).
The dispute centered on the calculation of the new parking rate under Section 4 of the Parking Agreement.
Key Points:
Section 4 stipulates that the parking rate should be the average of commercial, bona fide, arm’s length parking rates for facilities serving office buildings within a half-mile from the project lands.
The Court of Appeal found the application judge's interpretation of Section 4 to be incorrect, particularly regarding the terms "commercial, bona fide, arm’s length parking rates" and the type of parking rates to be used for calculation.
The appeal court determined the appropriate parking rates should be monthly, considering the historical practice and the fact that the agreement aimed to provide monthly parking for office workers.
Outcome:
The Court of Appeal allowed the appeal, set aside the order below, and recalculated the monthly parking rate based on expert evidence provided by the appellants.
The new monthly parking rate was set at $57.22 per stall from June 1, 2019, to April 30, 2022, and $71.36 per stall from May 1, 2022, onwards.
The appellants were awarded costs for the appeal in the agreed all-inclusive amount of $25,000, and application, with the exact amount for the latter to be determined if the parties cannot agree.
