Case Overview:
The Supreme Court of British Columbia ruled on a contractual dispute involving a failed Chaga powder processing project. Real Organics & Natural House Ltd. sought damages for breach of contract, fraud, and conspiracy. The court awarded $84,420 in damages to the plaintiff, Real Organics & Natural House Ltd., against Canadian Phytopharmaceuticals Corporation (CPC).

Legal Issues:

• Breach of Contract: CPC breached explicit and implied terms in the contract, including failure to follow specified processes for Chaga powder and improper storage of materials.

• Duty of Honest Performance: CPC provided falsified production records without disclosure, breaching its duty of honest performance.

• Fraud and Conspiracy: Allegations were dismissed as evidence did not substantiate fraudulent intent or coordinated misconduct among CPC employees.

• Claims Against Individual Defendants: The claims against Kok-Sing Lim, Daniel Wang, and Carina Cai were dismissed as their actions were within the scope of their employment.

Damages and Costs:

• The plaintiff was awarded $84,420, including $10,000 for breach of the duty of honest performance.

• Both parties bore their own legal costs due to CPC’s unaccepted settlement offer of $150,000, which exceeded the final award.

Outcome:
The corporate defendant, CPC, was held liable for contract breaches, while the individual defendants were exonerated.