What is the test for recoverable damages for false statements?

Ontario, Canada


The following excerpt is from Alterna Savings and Credit Union Ltd. v. Norman, 2006 CanLII 3466 (ON SC):

Where money is paid on the supposition that a specific fact is true which would entitle the other to receive it, which fact is untrue and the money would not have been paid if the fact had been known to be untrue, it can be recovered “and it is against conscience to retain it”: Rural Municipality of Shorthoaks v. Mobil Oil Canada, Ltd., 1975 CanLII 156 (SCC), [1976] 2 S.C.R. 147 (S.C.C.).

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