McPhail’s Equipment Co. v. Prairie Warehouse Leasing Corp.

In Purchase and Sale of Ships on (Updated )

This was an action by the buyer of a yacht against the vendor for damages for conveying the yacht to a third party and, against the buyer’s solicitor for negligence in the handling of the transaction. The Court found that the Defendant vendor deliberately attempted to avoid the sale to the Plaintiff because it had found a buyer who was willing to pay a higher price than the Plaintiff. The Court held that the Plaintiff was ready, willing and able to complete the sale except to the extent made impossible by the vendor’s own failure to perform its obligations. The Plaintiff was awarded damages of $50,000 for the return of a deposit and $30,000 for lost profit on the resale of the yacht. With respect to the action against the Plaintiff’s solicitor, the Court found that the solicitor had acted reasonably and did everything he possibly could have.