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No two-part test required for limitation of liability clauses: B.C. Appeal Court

Tuesday, May 01, 2018 @ 9:24 AM | By Ian Burns

The British Columbia Court of Appeal has ruled a lower court judge erred in saying a two-part test is required for determining whether cases involving a limitation of liability clause can be summarily dismissed, a decision the appellant's counsel says provides guidance on how courts should approach such cases.

The genesis of the issue in Kokanee Mortgage M.I.C. Ltd. v. Burrell 2018 BCCA 151, dates to January 2008, when Kokanee lent 669655 B.C. Ltd. and its sole shareholder Erwin Brechert $700,000. The security offered for the...