We can then suggest the strategy which is most suitable, advise on the
use of standard form contracts or help craft bespoke documents written in plain English which are tailored to your specific needs.
We have expertise and experience in advising and representing individuals and businesses on contract formation and validity of contracts, whether agreed in writing or otherwise, including a
variety of standard form contracts used in commercial and industrial settings.
Thus the CCDC contracts which are often used between owners and contracts appear to fall within the
sort of standard form contracts that the Court of Appeal was discussing.
«However, as appellate
interpretation of standard form contracts will have greater precedential value, this should eventually reduce litigation and limit future contractual disputes around the standard form clauses,» said Bombier.
However, Justice Wagner created an exception to Sattva in today's decision, stating, «In my view, where an appeal involves the interpretation
of a standard form contract, the interpretation at issue is of precedential value, and there is no meaningful factual matrix that is specific to the parties to assist the interpretation process, this interpretation is better characterized as a question of law subject to correctness review.»
I have been arguing for years that
all of these standard form contracts that are being forced upon us in the 21st century — are about as far from being «offer + acceptance + consideration» as one can get!
The Court is sending a clear message that the basic law of contractual interpretation will apply; creative interpretations
of standard form contracts are less likely to succeed.
In this Lawyers Weekly article, Eugene, who acted as counsel for the successful appellant states, «The Supreme Court's holding that the trial court's interpretation
of standard form contracts are reversible if they are incorrect is important for the construction and insurance industries, but its impact goes much further than that.»
Where, like here, the matter involves the interpretation
of a standard form contract, the interpretation at issue is of precedential value, and there is no meaningful factual matrix specific to the parties to assist the interpretation process, this interpretation is better characterized as a question of law subject to a correctness review.
In, Ledcor Construction Ltd. v. Northbridge Indemnity Insurance Co, 2016 SCC 37, the Supreme Court of Canada has held that the interpretation
of a standard form contract is a matter of law alone, and not a matter of mixed fact and law.
It relied on another recent decision of the Supreme Court in Ledcor Construction Ltd. v. Northbridge Indemnity Insurance Co, where Wagner J. (as he then was) wrote that interpretation
of a standard form contract can, in certain situations, be a question of law subject to correctness review standard (the stricter and less deferential review standard).