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1218807 Alberta Ltd v Muslim Association of Canada

Key Issue:

  • Dispute: Unpaid rent and associated costs under a lease agreement from May 1, 2020, to June 30, 2021.

Timeline and Findings:

  • May 19, 2023: Initial decision set rent owing as of April 1, 2021, at $663,117.15. Directed further determination for the period until June 30, 2021.
  • Submissions:
    • 1218807 Alberta Ltd. (the “Landlord”):
      • Total damages calculated as $773,636.67.
      • Rent for May and June 2021: $110,519.52.
      • Adjusted total damages: $671,813.17.
    • Muslim Association of Canada (“MAC”):
      • Disputed inclusion of property taxes, operating costs, and management fees.

Court's Determination:

  • Corrected Damages: Excluded property taxes and GST, finalizing at $616,848.09.
  • Remaining Damages: After deducting the security deposit of $101,823.50, the total is $515,024.59.
  • Interest: Set at 18% plus prime as per the lease.
  • Solicitor-Client Costs: To be assessed separately if no agreement is reached.

Legal Principles:

  • Lease Obligations: Tenant's responsibilities for rent and additional charges.
  • Damage Calculations: Proper method excluding certain fees.
  • Summary Trial Procedures: Importance of presenting all evidence and arguments initially.

Final Decision:

The court established the correct damages amount owed by MAC to the landlord, providing clarity on lease disputes and calculation of damages.

1218807 Alberta Ltd.
Law Firm / Organization
Borden Ladner Gervais LLP (BLG)
Lawyer(s)

Andrew Pozzobon

Muslim Association of Canada aka Muslim Association of Canada Inc.
Law Firm / Organization
Forum Law
Lawyer(s)

George Samia

Court of King's Bench of Alberta
2003 18579
Real estate
$ 515,025
Plaintiff