Supreme Court of Canada
French River Tug Co. v. Kerr Engine Co., (1895) 24 S.C.R. 703
Date: 1895-03-11
French River Tug Co.
and
The Kerr Engine Co.
1894: October 24; 1895: March 11.
Present: Sir Henry Strong C.J., and Taschereau, Gwynne, Sedgewick and King JJ.
Contract—Building of engine and boiler—Time for completion—Damages—Construction of contract.
APPEAL from a decision of the Court of Appeal for Ontario, reversing the judgment of the Divisional Court in favour of the appellants.
[Page 704]
The action in this case was for the contract price of building an engine and boiler for defendants (appellants), and the defence was that the work was not done within the delay provided for in the contract and that defendants were entitled to deduct $20 a day for each day's default in completion as the agreement allowed. They paid the balance into court.
The trial judge held plaintiffs entitled to recover finding that the delay was occasioned by defendants, but he deducted a small amount as damages for delay for a time attributable to plaintiffs. The Divisional Court reversed this judgment and dismissed the action. The Court of Appeal restored the original judgment and allowed plaintiffs the amount deducted at the trial.
The Supreme Court was of opinion that the delay was caused by the defendants themselves, and that the Court of Appeal rightly held plaintiffs entitled to recover the full contract price.
Appeal dismissed with costs.
Moss Q.C. for the appellants.
McCarthy Q.C. for the respondents.