Canadian Quality Stucco Ltd. v. Pangli
Page
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duty to mitigate by preventing the Claimant from repairing the deficiencies, such that I
should not allow any claims by the Defendants for repair costs.
[119] In the decision Jozsa v. Charlwood-Sebazco, 2016 BCSC 78 (), the court
stated:
[73]
Even where an owner terminates a contract, the owner can still
counterclaim for defective work: Keating on Construction Contracts, at p. 293.
However, the contractor has the right to remedy any defects in the work himself,
and if he is deprived of that right the owner’s right of set off may be
curtailed: Wiebe v. Braun, 2011 MBQB 157, at para. 32. As stated in Obad v.
Ontario Housing Corp., [1981] O.J. No. 282, at paras. 47-48 (H. Ct. J.):
47
With reference to the counterclaim or claim of set-off for damages
arising from non-completion of the work, the effect of the defendant,
Ducharme, telling the plaintiff to “get off the job” was to revoke the
plaintiff’s license to continue working there. Furthermore, in a practical
way, engaging other persons to do the work of the plaintiff, effectively
prevented the plaintiff from completing his contract. The defendant,
Ducharme, having thus prevented completion cannot obtain damages for
failure of the plaintiff to complete.
48
With respect to the claim for damages resting on expenditures to
correct the plaintiff’s work, it would seem that, although the defendant,
Ducharme, is entitled to have a set-off for defective work, its obligation to
mitigate its damages would require that it allow the plaintiff to continue,
having in mind the reasonable probability that the plaintiff would correct its
own work in order to obtain payment of the price. On that basis the
defendant, Ducharme, is not entitled to have damages based on its own
costs of correction. Alternatively, the plaintiff was obliged to correct its
defective work and the defendant, Ducharme, having prevented the
plaintiff from fulfilling that obligation, cannot have damages in the ordinary
way based on its having undertaken itself to carry out such corrections.
[120] In the decision Meszarics et al v. Hart Modular Homes et al, 2020 BCPC 234, the
court said:
[114] At common law, where there are deficiencies in construction work, in the
absence of a fundamental breach, the contractor is entitled to a reasonable
opportunity to rectify the work. In C. S. Bachly Builders Ltd. v. Lajilo, 2008
57444 (ONSC), the claimant sought to fully set off the amount she owed to the
builder for alleged defects in restoration work to her residence. The deficiencies
were not so defective as to go to the root of the contract and the work have no
value. The builder offered to fix the deficiencies but the homeowner refused him
access and hired another builder. The trial judge found the homeowner had a
duty to mitigate and provide the builder a reasonable opportunity to correct his