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The Supreme Court of Canada’s New Decision on Performing a Contract Honestly – What Business Owners Must Know

February 22, 2021

By Alessandro Perri

Almost seven years ago, in Bhasin, the Supreme Court of Canada (“SCC”), delivered a landmark case where it confirmed that parties have a duty of good faith when performing contracts, namely: parties to a contract must perform the contract “honestly and reasonably and not capriciously or arbitrarily.”1

On December 18, 2020, the SCC expanded on the duty of good faith and clarified what it means to perform a contract honestly. In this article, we discuss the facts of this new case, some key principles and what it means for business owners when performing contracts.

Read the full article HERE