5,109
edits
Line 76: | Line 76: | ||
=== 8. Duty of Honest Performance === | === 8. Duty of Honest Performance === | ||
The Supreme Court of Canada has recently recognized that there is a general organizing principle of good faith and duty of honest performance in the context of Canadian contract law (''Bhasin v Hrynew'', 2014 SCC 71 at para 33). The duty of honest performance requires contracting parties to act honestly in the performance of contractual obligations. Note that this is not a fiduciary duty and parties remain free to act in their own self-interest, as long as they do not lie or mislead the other party. | The Supreme Court of Canada has recently recognized that there is a general organizing principle of good faith and duty of honest performance in the context of Canadian contract law (''[https://www.canlii.org/en/ca/scc/doc/2014/2014scc71/2014scc71.html?autocompleteStr=Bhasin%20v%20Hrynew&autocompletePos=1 Bhasin v Hrynew]'', 2014 SCC 71 at para 33). The duty of honest performance requires contracting parties to act honestly in the performance of contractual obligations. Note that this is not a fiduciary duty and parties remain free to act in their own self-interest, as long as they do not lie or mislead the other party. | ||
Since the duty of honest performance applies generally, to all contracts, it would also apply to consumer transactions where one party has been dishonest or misled the other party. | Since the duty of honest performance applies generally, to all contracts, it would also apply to consumer transactions where one party has been dishonest or misled the other party. |
edits