Background

• Middlesex Condominium Corp. (Plaintiff) contracted Platinum Glass and Curtain Wall Ltd. (Platinum) to install replacement windows; Platinum subcontracted Aluminum Window Designs Ltd. (Defendant) to manufacture them.
• Problems with moisture and condensation arose after installation, primarily during winter, affecting about 20% of the units.
• The Plaintiff sued the Defendant for breach of warranty, breach of contract, negligence, and under the Sale of Goods Act.
• The trial concluded with limited damages awarded to the Plaintiff.

Key Issues

1. Were the windows defective?

   • Findings:
     • The majority of the issues stemmed from building design flaws, improper installation, and high humidity, rather than manufacturing defects.
     • Some isolated issues (e.g., failed Insulated Glass Units (IGUs)) were identified as manufacturing defects.

2. What grounds could the Plaintiff recover damages on?

   • The Defendant was liable under its 10-year manufacturing warranty but not for installation issues or condensation (explicitly excluded in the warranty).
   • Claims under the Sale of Goods Act failed due to lack of privity and limitations issues.
   • The negligence claim failed; no evidence of systematic manufacturing flaws or deviation from standard practices.

3. What damages were recoverable?

   • The Plaintiff sought $2.1M for full window replacement and $500,000 in general damages.
   • The court limited recovery to $15,000 for approximately 10 failed IGUs, rejecting claims for full replacement due to lack of evidence tying all issues to the Defendant.

Court’s Conclusions

• The Defendant is liable for $15,000 to cover the cost of defective IGUs.
• The remainder of the claims were dismissed as the issues were largely attributable to the building's construction, humidity, or improper installation.
• No general damages were awarded due to insufficient evidence.