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Good faith in contracts clarified by B.C. Court of Appeal

In Dhanesar v. Pandher, 2026 BCCA 63, the British Columbia Court of Appeal (the BCCA) allowed an appeal, finding that the trial judge erred by applying incorrect legal principles in interpreting the contract and analyzing the duty of good faith.  The BCCA clarified that the duty of good faith operates as a general doctrine, distinct from the principles of contractual interpretation, and that discretion must be exercised in a consistent manner with the purpose for which it was conferred. Read full article…