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ARTICLE · 10 FEBRUARY 2023

Important Issues To Consider Prior To Terminating A Construction Contract: 3065448 Manitoba Ltd. v. Bolay

Thompson Dorfman Sweatman LLP
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A 2022 decision from the Manitoba Court of King's Bench highlights the potential consequences owners face in wrongfully removing a contractor from a project.

CanadaReal Estate and Construction
Jarrod Sundmark
Jarrod Sundmark
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A 2022 decision from the Manitoba Court of King's Bench highlights the potential consequences owners face in wrongfully removing a contractor from a project. In 3065448 Manitoba Ltd. v. Bolay, the Court awarded the plaintiff contractor damages as a result of the defendant owner's wrongful termination of the contract - despite the owner's concerns relating to delays and deficient work on the part of the contractor.

Facts

3065448 Manitoba Ltd. (the "Contractor") and Etienne Bolay (the "Owner") entered into a contract (the "Contract") for the construction of a concrete foundation for a chicken coop (the "Project"). The Contract contained an estimated completion date for the Project.

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