How To Lose Your Shirt In Business

One of the best ways you can protect yourself personally is to conduct business through a limited liability company. However, if you do not let your customers and suppliers know that they are dealing with a limited liability company, you can personally be on the hook. Depending on the type of work you do and…

Can You Retract a Discounted Invoice?

What happens if you discount an invoice and are not paid? Can you retract the discount and bill for the full amount? A recent decision from the BC Supreme Court shows that you may not be able to do so. FACTS A West Vancouver man (the “Homeowner”) entered into an agreement (the “Contract”) with a…

What are Your Damages Worth?

Frequently the courts are called upon to determine if someone has suffered damages, and if so, how to calculate them. Doing so can be like trying to guess the price on the game show, The Price is Right. A recent case, however, provides some helpful guidance on what the courts will generally consider. FACTS In…

Killing a Contract

The goal in signing a contract is generally to see it through to completion. However, contracts often contemplate a method for terminating the contract in certain circumstances. Recently, the court clarified the law surrounding this issue. Facts In 2001, an owner hired a general contractor (the “Contractor”) to complete a home building project in West…

When Does a Quote Become a Binding Contract?

When does a quote become a binding contract is a common question. Recently the British Columbia Supreme Court provided some helpful guidance. FACTS In 2003 the construction of a house in Kelowna, BC was nearing completion when the original tile installer walked off the job. Exclusive Flor Sales Ltd. (the “Contractor”) is based in Surrey,…

Getting Your Swagger Back

The Supreme Court of Canada delivered a HUGE win for general contractors yesterday. In a much-anticipated decision, the Supreme Court of Canada held that an insurer did in fact owe a duty to defend a general contractor for claims made as a result of negligent subtrades. After years of being denied coverage for these claims, this decision…

What Does Lockup Mean?

What does “lockup” mean and when is a project at the “lockup” stage? These questions were recently the subject of a dispute before the BC Supreme Court. FACTS In Skadberg Construction Ltd. v. Buschholz, 2010 BCSC 869, Skadberg Construction (the “Builder”) and Buschholz (the “Homeowner”) entered into a construction agreement based on the precedent provided by…

Don’t Complain if You’re Not Compliant

Recently, there was a BC Supreme Court decision that dealt with the consequences of accepting a non-compliant bid. The judge also had some stern warnings for the parties about undermining the integrity of the tendering process when parties do not follow the rules.   FACTS In Cranbrook Interior Woodwork Ltd. v. D & T Developments Ltd.,…