Canada – Canada Supreme Court rules good faith now implied in all contracts
[JURIST] The Supreme Court of Canada [official website] ruled [judgment] Thursday that a term of good faith performance is now an implied requirement in all contractual agreements. The court found that Canadian courts' resistance to ruling on the issue of good faith performance in contracts has created an "unsettled and incoherent body of law ... which is difficult to analyze." The court laid out two steps to resolving the issue: The first step is to acknowledge that good faith contractual performance is a general organizing principle of the common law of contract which underpins and informs the various rules in which the common law, in various situations and types of relationships, recognizes obligations of good faith contractual performance. The second is to recognize, as a further manifestation of this organizing principle of…