Supreme Court
Decision Information
Abstract: Application for specific performance of an alleged contract for sale of land by the Defendant - Defendant accepted an offer to purchase lands from the Plaintiff on condition that acceptance subject to ratification by town council - Council never passed the by-law that would have ratified the agreement and the Defendant sold to another purchaser - Plaintiff registered a caveat against title and commenced this action.
Decision: Application dismissed - There was no binding contract between the parties for the sale of the land - Defendant had no authority to sell the land to the Applicant in the absence of a ratifying by-law - Court notes that the practise followed by the Defendant is not desirable as it creates uncertainty between parties - However, legally binding contract not created.
Subjects: Municipal law - Municipal contracts - Validity and enforceability
Keywords: Specific performance - ratification - by-law - Council