Is a covenant of intent to set up a veterinary practice ambiguous if it is not clear as to activity, time, or geography?
British Columbia, Canada
The following excerpt is from Rhebergen v. Creston Veterinary Clinic Ltd., 2014 BCCA 97 (CanLII):
A covenant is ambiguous if it is “not clear as to activity, time, or geography”: Shafron v. KRG Insurance Brokers (Western) Inc., 2009 SCC 6, [2009] 1 S.C.R. 157 at para. 43. The question here is whether the compensable activity in clause 11, s. 2, described as “set[ting] up a veterinary practice”, is unclear. The clause will only be ambiguous if it cannot objectively be determined when the compensation provisions are triggered.
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