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Feb 25, 2021: 15:00 - 16:00

Examination and Discussion of the Duty of Honesty in Contractual Performance

CPD Information: 1 Substantive Hour for Lawyers

Paige Backman, Margaret T. Nelligan and Angela Swan


The Supreme Court of Canada recently clarified and expanded the scope of the duty to act honestly in the performance of a contract (known as duty of good faith), as previously recognized in Bhasin v. Hrynew. In C.M. Callow Inc. v. Zollinger, 2020 SCC 45, the Court acknowledged that while the defendants did comply with the contractual specifications, it was the manner in which they exercised their right of termination that breached the duty of honest performance. The Supreme Court of Canada ruled that no contractual right can be exercised dishonestly and half-truths, omissions and silence can be a breach of that duty.

Join our panel of experts as they examine and discuss the duty of honesty in contractual performance as it pertains to C.M. Callow Inc. v. Zollinger. Gain insight into what warrants a breach of honest contractual performance and how to comply with these regulations.

Topics include:

What constitutes a violation of the duty of good faith?

 How does the duty of honest contractual performance complicate the law?

What are the key learnings from C.M. Callow Inc. v. Zollinger?

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