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Landlord and Tenant (Commercial) - Commencement

. Paletta International Corporation v. Liberty Freezers London Ltd.

In Paletta International Corporation v. Liberty Freezers London Ltd. (Ont CA, 2021) the Court of Appeal cited law that allowed a lease to commence at future events, rather than a specific date:
[25] The term of a lease is not uncertain simply because the parties define commencement in relation to a contingent future event. In Canada Square Corp. v. Versafood Services Ltd. (1982), 1981 CanLII 1893 (ON CA), 130 D.L.R. (3d) 205 (Ont. C.A.), at pp. 225-226, Morden J.A. considered a lease agreement which the parties had agreed would commence at “substantial completion of the building”. He wrote: “As a matter of principle I can think of no valid reason why, if parties choose to agree that a lease is to commence on a future specified contingency, a court should not uphold their bargain.”



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Last modified: 08-06-21
By: admin