Summary: The case involves a dispute over a shopping center's common parking lot area between Metro Ontario Real Estate Limited (Metro) and Embee Properties Limited (Embee). Metro objected to Embee's plans to expand the shopping center, which would affect the parking spots allotted for Metro's customers under its lease.

Key Points:

• Lease Agreements: Metro's lease, originating in 1971 and amended in 1983, provided rights to use common parking areas. The amendments and the site's changes through the years adjusted the specifics regarding the minimum number of parking spaces.
• Dispute: Metro contested Embee's expansion plans, arguing that they interfered with its leasehold interests in the common parking area, which were critical for its grocery store operations.
• Court Decisions:
  • Lower Court: Found that Metro had leasehold interests in the parking area, which Embee's expansion would violate, granting Metro a permanent injunction against the reconfiguration of parking spaces.
  • Court of Appeal: Overturned the lower court’s decision, ruling that Metro did not have a leasehold proprietary interest but rather a non-exclusive right to use the parking area in common with other tenants. The court concluded that Embee's proposed changes did not substantially interfere with Metro’s rights.

Outcome: The appeal was allowed, reversing the lower court's decision and dismissing Metro's application. The Court of Appeal determined that Embee’s expansion plans did not violate Metro's rights under the lease agreements. Costs were awarded to Embee, with Metro ordered to pay $60,000 for application costs and $30,000 for appeal costs.