The concept of expropriation concerns the power of a public
authority to deprive a property owner of the enjoyment of the
attributes of his or her right of ownership.1 As the
Supreme Court of Canada recently stated in the case of Lorraine
(Ville) v 2646‑8926 Québec Inc., 2018 SCC 35,
disguised (also known as de facto) expropriation involves an abuse
of power which "occurs where a public body exercises its power
of regulation unlawfully, that is, in a manner inconsistent with
the purposes the legislature was pursuing in delegating the power
... it is the reasons for the act which must be assessed. The
courts will accordingly determine whether the act is fraudulent,
discriminatory, unjust or affected by bad faith, in which case it
will be treated as an abuse of power".2 This
occurs "[w]hen property is expropriated outside [the]
legislative framework for an ulterior motive, such as to avoid
paying an indemnity".3 In Lorraine, the
Supreme Court considered the legitimacy