Canadian Pacific Rail appeals $163.7 million judgment over land deal

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In a press release provided to Postmedia on Friday, CP said the company was surprised by the decision by Court of King’s Bench Justice Alice Woolley that found it and the province jointly and severally liable for $163.7 million in damages to Remington Development Corp.

“CP was surprised and disappointed by this judgment, which CP believes contains significant errors of law and fact relating to both liability and damages,” the news release said.

“CP has strong reasons to appeal and will vigorously fight this decision.”

In a 200-page written decision released by the court Thursday, Woolley found CP breached a sales agreement with Remington for three parcels of land north of the Stampede site that the developer planned to turn into a commercial and residential area called Rail Town.

Remington had agreed to buy the properties next to the rail line between 9th Avenue and 10th Avenue SE in 2002, but before the deal was completed the province moved in and made a better offer, Woolley found.

She ruled that CP breached its original contract with the developer and found the province, which sought the lands “as part of its ongoing long-term effort to acquire lands for the potential construction of a high-speed rail link between Edmonton and Calgary,” induced. the breach.

Woolley noted that Remington had hired a consultant to design “a mixed-use development with high-density commercial and residential buildings across the three parcels, integrated green space and connection between the 9th Ave. land and the 10th Ave. land using of two Pluss-30 bridges over the HLR main line.”

At a meeting on December 4, 2006, Canadian Pacific informed the developer that it had decided to sell the 10th Avenue sites to the province. When Remington founder Randy Remington claimed “we have a contract,” he was told by a railroad representative to “get over it,” the judge said in her ruling.

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Twitter: @KMartinCourts

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