What is the test for equity in a contract where the contract does not contain an equalization clause?

Alberta, Canada


The following excerpt is from Kocken v. Stewart, 1999 ABQB 331 (CanLII):

The next question asked by Mr. Justice Estey in the Lister v. Dunlop case is particularly appropriate here: Even if this principle were not to be found embedded in the basic concepts of the law of contracts, where would the equities lie here?

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