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ARTICLE · 22 JANUARY 2019

Property Leasing – Recent Developments Of Importance, Part 2

Is a Landlord responsible to an abutting landowner for environmental contamination caused by a Tenant?

CanadaReal Estate and Construction

Is a Landlord responsible to an abutting landowner for environmental contamination caused by a Tenant?

In an era when environmental contamination is causing increasing concern, the need to settle a landlord's responsibility for contamination caused by its tenant to neighboring lands becomes more and more apparent. In Sorbam Investments Ltd. v. Litwack, the plaintiff landowner commenced an action for damages against an abutting landowner for the contamination of its land. It alleged that a former commercial tenant on the abutting lands operated a dry-cleaning business, which was the source of the contamination of the plaintiff 's lands, and that as a result, the defendant was liable (1) in nuisance, (2) in negligence, or (3) pursuant to the Environmental Protection Act ("EPA"). The defendant brought a successful motion for summary judgment to dismiss the action.

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