Can a waiver arise if one party leads the other party to believe that the strict rights arising under the contract will not be insisted upon?

Ontario, Canada


The following excerpt is from Machado v. Pratt & Whitney Canada Inc., 1995 CanLII 7282 (ON SC):

47 I agree with the argument that waiver arises if one party, by its conduct, leads the other party to believe that the strict rights arising under the contract will not be insisted upon, intending that the other should act on that belief and that the other party does act on that belief, then the first party is not allowed to insist on strict legal rights when it would become inequitable for it to do so. See Petridis v. Shabinsky (1982), 1982 CanLII 3091 (ON SC), 132 D.L.R. (3d) 430 (Ont. H.C.).

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