Background:
Faria Mechanical Ltd. (Faria) filed a claim for $519,517.15 in withheld payments against Bosa Development Corporation (Bosa) after completing contracted mechanical services on a 31-story commercial tower project in Vancouver, B.C. Bosa, the general contractor, withheld funds, citing damages from two alleged flooding incidents related to Faria’s work.

Legal Arguments and Issues:
Faria argued the holdback amount was a discrete, uncontested issue suitable for summary trial, asserting it completed contracted work in compliance with project plans. Bosa opposed summary disposition, arguing that Faria's actions or omissions (improper drain installation and pipe debris) led to the floods, costing $250,000 and $165,000 for deductible and repairs. Bosa claimed a right to set off these damages against Faria's payment demand, arguing that factual disputes over contract terms and alleged negligence required a full trial.

Court’s Decision:
The court dismissed Faria’s application for summary trial, finding the holdback claim inseparable from Bosa's set-off defense and counterclaim. Key facts—like responsibility for drain debris—remained contested, with potential need for expert testimony.

Costs:
The court awarded costs at Scale B to Bosa as the successful party. Enersolv Design and Build Ltd., also involved due to Bosa’s counterclaim, received limited costs. Financial terms were not specified.