Heritage Property Corporation v Triovest Inc
Heritage Property Corporation
Law Firm / Organization
Walsh LLP
Lawyer(s)

Teddy E. Nobles

Seventh Avenue Property Corporation
Law Firm / Organization
Walsh LLP
Lawyer(s)

Teddy E. Nobles

Stuart Block Inc.
Law Firm / Organization
Walsh LLP
Lawyer(s)

Teddy E. Nobles

Triovest Inc.
Triovest Properties Inc.
1704873 Alberta Inc.
1908762 Alberta Ltd.
John Doe Corporations 1 to 10
Law Firm / Organization
Not Specified
City of Calgary
Law Firm / Organization
Not Specified

Background

  • The appellants, Heritage Property Corporation, Seventh Avenue Property Corporation, Stuart Block Inc., sought to develop land in Calgary, requiring rezoning and a development permit.
  • They agreed to sell Lot 13 to the respondents, Triovest Inc., Triovest Properties Inc., 1704873 Alberta Inc., 1908762 Alberta Ltd., who signed a non-opposition letter for rezoning; the agreement was silent on the development permit.
  • Rezoning was approved, and the appellants obtained a development permit, but neighboring landowners opposed it before the Subdivision and Development Appeal Board (SDAB).
  • The respondents joined the opposition after an unsuccessful attempt to purchase the entire parcel from the appellants.
  • The SDAB revoked the permit, creditors lost confidence, and the land was sold via judicial salewhich the respondents later purchased at a reduced price.

Key Legal Issues & Court Findings

  1. Breach of Contract & Good Faith
    • The appellants alleged respondents violated the Lot 13 agreement’s intent and acted in bad faith.
    • The Court ruled the agreement only required non-opposition to rezoning, not the development permit.
  2. Summary Dismissal
    • The chambers judge upheld dismissal, finding no genuine issue for trial.
  3. Good Faith & Contractual Honesty
    • The duty of honest performance cannot create new obligations beyond the contract.

Appeal Outcome

  • Appeal dismissed; no dishonesty found.
  • Reminder issued on compliance with court filing rules.
  • No monetary award specified.
Court of Appeal of Alberta
2301-0235AC
Real estate
Respondent