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ARTICLE · 15 JUNE 2022

Can Condominium Developers Be Liable In Tort For Construction Deficiencies?

Miller Thomson
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On May 25, 2022, the Alberta Court of Appeal released its decision for Condominium Corporation No. 0522151 (Somerset Condominium) v JV Somerset Development Inc., 2022 ABCA 193 ("JV Somerset").

CanadaReal Estate and Construction
Michael Gibson
Michael Gibson
Ryley Schmidt
Ryley Schmidt
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On May 25, 2022, the Alberta Court of Appeal released its decision for Condominium Corporation No. 0522151 (Somerset Condominium) v JV Somerset Development Inc., 2022 ABCA 193 ("JV Somerset"). Roberto Noce, Q.C. and Michael Gibson of Miller Thomson LLP acted for the appellant, Condominium Corporation No. 0522151 (the "Corporation").

In JV Somerset, the developer, JV Somerset Developments Inc. (the "Respondent"), constructed a 215-unit condominium, the units of which were sold to members of the public in late 2004 or early 2005. In or around 2012, significant damage to the balconies was discovered due to deficiencies in the waterproof membranes. The Corporation replaced all the balconies and sued the Respondent for the cost of repairing the deficiencies, framing the claim in tort and breach of fiduciary duty.1 In their defence, the Respondent asserted that a developer, which is a defined term under the Condominium Property Act, RSA 2000, c-22, could not be liable

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