Key Facts:
- Agreement: The appellant, 677 (later Stayside Corporation Inc.), agreed to purchase 50 acres from the respondents, Cyndric Group Inc. and Richard Menard, contingent on severing the land.
- Condition Precedent: The severance application was required to be initiated by the vendors, following a $5,000 payment from 677, to be completed by December 5, 2014.
- Non-Compliance: The payment was never made, and the severance was not pursued. The parties later agreed that 677 would handle the severance process.
- Delays: 677 submitted two severance applications, both of which stalled. The respondents provided multiple extensions, but in 2018 they declared the contract repudiated.
- Litigation: Stayside (having taken over the contract) sued for specific performance. The trial court granted summary judgment in favor of the respondents.
Appeal:
- Grounds: The appellants argued the motion judge incorrectly found anticipatory breach.
- Decision: The Court of Appeal upheld the lower court's decision, agreeing that the appellants had failed to diligently pursue the severance, justifying the respondents’ repudiation of the agreement.
Outcome:
- The appeal was dismissed, and the respondents were awarded $10,000 in costs.
This case underscores the importance of fulfilling conditions precedent in real estate contracts and the consequences of failing to do so
