What is the test for interpretation of the Settlement Agreement?
British Columbia, Canada
The following excerpt is from Fontaine v. Canada (Attorney General), 2014 BCSC 941 (CanLII):
Finally, specifically with regard to issues of interpretation of the Settlement Agreement, I agree with the comments of Goudge J.A. (sitting as an ex officio judge of the Ontario Superior Court of Justice) in Fontaine v. AG Canada, that the specific context in which the Settlement Agreement emerged needs to be taken into account. As Goudge J.A. noted, this agreement was the product of negotiations which: …evolved over a number of years. It is not a commercial agreement that arose after a short sharp negotiating session between two corporate entities. Its context should not be arbitrarily limited as if it were.[4]
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