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Tag Archives: estoppel

Be Careful What You Sign — It May Come Back to Haunt You: Estoppel Certificates and their Effect

Posted in Policy

Tenants are routinely requested by landlords to execute estoppel certificates in favour of purchasers or lenders as to the status of their leases. Most tenants ensure there are no ongoing performance defaults (such as a failure to repair) or monies owing by the landlord (such as for year-end adjustments).  How many tenants review their lease carefully before signing?… Continue Reading

Calculating Damages for False Estoppel

Posted in Commercial, Policy

The Quebec Court of Appeal in Meyerco Enterpresis Ltd. v. Kinmont Canada Inc. (2016 QCCA 89) has recently partially overturned a lower court ruling that awarded damages for a false estoppel signed by a tenant based on application of a cap rate paid by the buyer and addressee of the estoppel instead applying general principals of ‎damages including mitigation.… Continue Reading

Dirty Estoppel Martinis

Posted in Commercial

A dirty estoppel is much like a Dirty Martini, except it packs a much bigger hangover if not properly digested.

On almost all major commercial real estate transactions today, a buyer will get few if any representations on the leases other than a statement that all of them have been delivered as well as a rent roll.

Instead the buyer will seek comfort on the estoppels to be delivered by the tenants (the figurative horse’s mouth) who in theory are making representations directly to the buyer and their lender and implicitly releasing vendor from past claims (enhanced by having the … Continue Reading

No Parking

Posted in Litigation

The Supreme Court dismissed an appeal this week from the Quebec Court of Appeal in Immeubles Jacques Robitaille inc. v. Québec (City), 2014 SCC 34. The appellant developer had challenged an offence notice issued by the municipality for permitting or tolerating non-conforming parking use contrary to the municipality’s zoning and planning by-law. The developer, in challenging the notice, relied in part on acquired rights based on the use of the parking lot. The question that was raised was whether the doctrine of estoppel could be pleaded by a defendant in penal proceedings dealing with an application of … Continue Reading