Gillson Homes Ltd v Chopra
Gillson Homes Ltd
Law Firm / Organization
Doherty Schuldhaus LLP
Lawyer(s)

Brian G. Doherty

Deepti R. Chopra
Law Firm / Organization
Kirwin LLP

Background

Gillson Homes agreed to sell a lot and build a house for Chopra. Disputes over price increases led to the sale's collapse. Gillson sought a declaration of no binding contract and to discharge Chopra's caveat. Chopra counterclaimed for specific performance or damages.

Key Contract Provisions

  1. Price Change Clause: Price adjustments if material costs rise by more than 5%.
  2. Unique Property Clause: Allows specific performance claims.
  3. Entire Agreement Clause: Declares no collateral agreements unless included in writing.

Facts

  • RPC signed on October 20, 2021, with a price of $635,000.
  • Defendant paid $25,000 in deposits.
  • Disputes arose over lumber price increases, leading to an alleged price hike of $95,000.

Issues

  1. Void for Uncertainty: Whether the RPC is void due to price uncertainty.
  2. Specific Performance: Whether this remedy is available, affecting the discharge of Chopra’s caveat and CLP.

Court's Decision

  • Summary Judgment: Denied due to triable issues on the Price Change Clause and good faith obligations.
  • Specific Performance: Not available due to lack of trust and potential need for court supervision.
  • Caveat and CLP: Ordered discharged, as damages are an adequate remedy.

Costs

  • Parties may apply for cost determination in morning chambers if no agreement is reached.
  • The judgment does not specify a total monetary award, costs, or damages granted/ordered.
Court of King's Bench of Alberta
2203 09059
Real estate
Plaintiff