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Difference between revisions of "Clinician Guide for Consumer Transactions (11:X)"

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=== 8. Duty of Honest Performance ===
=== 8. Duty of Honest Performance ===


The Supreme Court of Canada has recently recognized that there is a general organizing principle of good faith and duty of honest performance in the context of Canadian contract law (''Bhasin v Hrynew'', 2014 SCC 71 at para 33).  The duty of honest performance requires contracting parties to act honestly in the performance of contractual obligations. Note that this is not a fiduciary duty and parties remain free to act in their own self-interest, as long as they do not lie or mislead the other party.
The Supreme Court of Canada has recently recognized that there is a general organizing principle of good faith and duty of honest performance in the context of Canadian contract law (''[https://www.canlii.org/en/ca/scc/doc/2014/2014scc71/2014scc71.html?autocompleteStr=Bhasin%20v%20Hrynew&autocompletePos=1 Bhasin v Hrynew]'', 2014 SCC 71 at para 33).  The duty of honest performance requires contracting parties to act honestly in the performance of contractual obligations. Note that this is not a fiduciary duty and parties remain free to act in their own self-interest, as long as they do not lie or mislead the other party.


Since the duty of honest performance applies generally, to all contracts, it would also apply to consumer transactions where one party has been dishonest or misled the other party.
Since the duty of honest performance applies generally, to all contracts, it would also apply to consumer transactions where one party has been dishonest or misled the other party.
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