What is the test for establishing a reasonable limitation on the amount of damages a plaintiff can claim against a third party?

Ontario, Canada


The following excerpt is from Terpstra Farms Ltd. et al v. Argue & Associates et al, 2010 ONSC 471 (CanLII):

Counsel also directed me to the case B.D.C. Ltd v. Hofstrand Farms Ltd., 1986 CanLII 51 (SCC), [1986] 1 S.C.R. 228. On the facts of that case the court discusses the need for reasonable limitations on claims especially if they are for economic loss and involved claims by third parties. In that case the court held that the respondent was not liable, that it had no duty of care to the appellant, on the grounds that the respondent did not fall within the limited class of potential victims in the reasonable contemplation of the appellant.

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