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ARTICLE · 16 MAY 2018

How To Change Your Mind And Get Away With It

McCarthy Tétrault
McCarthy Tétrault
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McCarthy Tétrault

McCarthy Tétrault

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In North Elgin Centre Inc. v. McDonald's Restaurants of Canada Limited (2017), 87 R.P.R. (5th) 303 (Ont. SCJ) reversed (2018), 87 R.P.R. (5th) (315) (C.A.) the Court ...

CanadaReal Estate and Construction

In North Elgin Centre Inc. v. McDonald's Restaurants of Canada Limited (2017), 87 R.P.R. (5th) 303 (Ont. SCJ) reversed (2018), 87 R.P.R. (5th) (315) (C.A.) the Court was faced with a landlord who, after not insisting on enforcing its rights strictly, decided to do so--unsuccessfully in the unanimous opinion of the Court of Appeal.

McDonald's exercised its right of renewal in a timely way on February 29, 2016 for an initial term which expired on March 10, 2017. However, the renewal provision had an unusual requirement--if the parties hadn't agreed on the rent for the renewal term at least nine months prior to the expiration of the term, McDonald's could either revoke its exercise of the renewal or elect arbitration.  The landlord hadn't even put a proposal for rent on the table when the nine month date occurred.  The parties finally met on August 29, 2016 to discuss the proposal. On August 31, 2016 the landlord sent an email to McDonald's assuming that McDonald's

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