SG Air Leasing Limited v. Inchatsavane Company (Proprietary) Limited also known as Inchatsavane Company (PTY) Ltd., et al.

(Ontario) (Civil) (By Leave)




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Commercial law – Liens – Repairers’ liens – Repair and Storage Liens Act, R.S.O. 1990, c R.25, s. 1(1) – Whether the Court of Appeal made palpable and overriding errors and misapprehended the evidence in finding that the applicant loaned funds to Goderich such that it was a lender and not a “repairer” under the Act – Whether the Ontario and British Columbia statutes expressly provide protection by way of a lien to a person who expends money (but no labour, skill or materials) in the alteration or improvement of an article of tangible property – Whether the motion judge make a fundamental error at law in finding that the relief sought by the applicant is statute barred pursuant to the Limitations Act, 2002, S.O. 2002, c. 24, Sched. B

The respondent purchased an aircraft from the applicant and retained Goderich Aircraft to refurbish the aircraft’s interior. When Goderich Aircraft began to have financial difficulty, the applicant advanced funds to Goderich Aircraft to continue with the refurbishment. The applicant asserted that these funds constituted a “repair”, and that it was a “repairer” entitled to a non-possessory lien with respect to the aircraft, pursuant to the Repair and Storage Liens Act, R.S.O. 1990, c R.25. The applicant obtained an ex parte order for an interim and interlocutory injunction in respect of the aircraft, and sought further declaratory relief for the continuance of the injunction pursuant to the Act.

Lower Court Rulings

March 27, 2015
Ontario Superior Court of Justice

2015 ONSC 1483, CV-14-519022
Motion for declaratory relief pursuant to the Repair and Storage Liens Act, R.S.O. 1990, c R.25 dismissed
June 17, 2015
Court of Appeal for Ontario

C60255, 2015 ONCA 440
Appeal dismissed