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The Supreme Court of Canada released its decision in
C.M.
Callow Inc. v. Zollinger
1 on December 18, 2020.
This decision is ground-breaking in the world of contracts, and can
have far-reaching repercussions to contracting parties that could
easily fall into the trap of acting outside of their duty of honest
performance as formulated in
Bhasin v Hrynew.
2 Generally, corporate compliance programs
focus on government regulation. After the decision in
Callow, compliance programs would be wise to focus on the
distinction between actively misleading conduct and innocent
non-disclosure in contractual performance as well.
Factual Background
The Appellant, C.M. Callow Inc. (“Callow”) signed a ....

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