2013 QCCQ 15564, 2013 QCCQ 15564

Tower 500 inc. c. 9059-9812 Quebec inc. 2013 QCCQ 15564 COURT OF QUEBEC Small Claims Division CANADA PROVINCE OF QUEBEC DISTRICT OF MONTREAL Civil Division No: 500-32-134956-129 DATE: December 10, 2013 ______________________________________________________________________ BY THE HONOURABLE ELIANA MARENGO, J.C.Q. ______________________________________________________________________ TOWER 500 INC. 550, Beaumont avenue # 501 Montreal, Qc H3N 1V1 Plaintiff v. 9059-9812 QUEBEC INC. 1, Place Ville-Marie, 39 th floor Montreal, Qc H3B 4M7 Defendant ______________________________________________________________________ JUDGMENT ______________________________________________________________________ [ 1 ] GIVEN the evidence; [ 2 ] WHEREAS a commercial lease agreement intervened between the parties, on March 29, 2012; [ 3 ] WHEREAS defendant was to occupy the premises located at 500 St-Martin boulevard West, in Laval (suite 520); [ 4 ] WHEREAS the term of the lease was 5 years, namely from July 15, 2012 to July 14, 2017; [ 5 ] WHEREAS the rent was set out in

section 2.03 of the lease (monthly base rent during year one of $ 1,470.00 net/net); [ 6 ] WHEREAS , according to the preponderance of evidence, Richard Desnoyers, who was the general manager of defendant company and duly authorized to sign the lease and act on behalf of defendant ( articles 2130 and 2163 Civil Code of Quebec ; agreement, exhibit D-10; business card, exhibit P-9; testimony of Joel Weber, Paul Major and Richard Desnoyers); [ 7 ] WHEREAS defendant demanded that plaintiff urgently carry out certain leasehold improvements, that which it did, albeit only partially, as defendant failed to pay the agreed upon deposit (s. 14.01 of the lease) and eventually failed to move in; [ 8 ] WHEREAS defendant's decision to renege on the lease, without a valid reason, is contrary to

article 1375 C.C.Q.; [ 9 ] WHEREAS , given defendant's default, plaintiff was within its rights to resiliate the lease, and did so, on June 27, 2012, by providing a written notice, to defendant, in accordance with

section 11.02 of the lease (demand letter, exhibit P-3); [ 10 ] WHEREAS plaintiff is entitled to damages incurred as an immediate and direct consequence of defendant's non performance; [ 11 ] WHEREAS , however, according to the preponderance of evidence, it became clear to plaintiff that defendant would not occupy the premises, as early as mid-April 2012 (letter, exhibit P-5);

[ 12 ] WHEREAS , furthermore, the beginning of the term was only July 15, 2012; [ 13 ] WHEREAS , by choosing to wait until June 27, 2012, to send notice P-3, and by waiting until the month of June to actively solicit another tenant, plaintiff did not mitigate its damages (article 1479 C.C.Q.); [ 14 ] WHEREAS , with regards to the condition added to the lease at the bottom of page 18 thereof, it is a non-issue, as it was added by Weber himself, after the execution of the lease and unbeknownst to defendant; [ 15 ] WHEREAS plaintiff is therefore only entitled to the reimbursement of the expenses incurred for the leasehold improvements carried out at defendant's request ( $1,724.63, invoice and cashed cheque, exhibit P-8 en liasse ), as well as one month's rent ( $3,566.18); WHEREFORE THE COURT HEREBY: GRANTS plaintiff's action in part; SENTENCES defendant to pay plaintiff the sum of $5,290.81, plus interest at the legal annual rate of 5% and the additional indemnity provided for in

article 1619 of the Civil Code of Quebec , as of June 27, 2012; THE WHOLE , with costs. __________________________________ ELIANA MARENGO, J.C.Q. Dates of hearing: October 1 and November 25, 2013