This case was heard in the Supreme Court of Newfoundland and Labrador (Trial Division).

The numbered company 10565 Newfoundland Inc. owned a hotel property in Happy Valley-Goose Bay, not far from a federal air force base that had been in use since the 1940s. Oil contamination from the base had migrated onto the numbered company’s property, making it difficult for the company to expand its business as it wished. The company sued the Crown, claiming that it was liable for nuisance, negligence, strict liability ("the rule in Rylands v. Fletcher"), and trespass.

After considering each of the issues separately, the Court held that the Crown could only be held liable in negligence, and that its negligence consisted specifically in breaching its duty to warn the company about the possibility of oil contamination on its property and breaching its duty to investigate in a timely manner. 

To read about this case at a pre-trial stage, go to 10565 Newfoundland Inc. v. Canada (Attorney General), 2015 CanLII 13905 (NL SCTD). To read about other stages of the trial, go to 10565 Nfld. Inc. v. Canada (A.G.), 2015 CanLII 67624 (NL SCTD) and 10565 Nfld. Inc. v. Canada (A.G.), 2015 CanLII 77563 (NL SCTD).

View the Decision on CanLII: https://www.canlii.org/en/nl/nlsctd/doc/2017/2017canlii25468/2017canlii25468.html

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