The King v. British American Fish Corporation

AMERICAN

FISH *a25 CORPORATION.

APPEAL from the judgment of the Exchequer Court of Canada(1), in favour of the plaintiff (respondent). The respondent was given a lease for twenty-one years of fishing rights in the Nelson River and other waters with an option of renewal at the expiration of the term on fulfillment of certain conditions. After the rights under the lease were exercised for nine years respondent was notified by the Department of Marine and Fisheries that it was ultra vires and void ab initio and the fishing rights were withdrawn.

In an action against the Crown for loss of the balance of the term it was conceded that the option for renewal was void and contended by the Crown that it vitiated the whole lease.

The judgment of the Exchequer Court was that the option was severable and the lease good. The Supreme Court of Canada heard counsel and reserved judgment.

Later the judgment of the Exchequer Court was affirmed.