. Bank of Montreal v. Utility Engineers Corporation
In Bank of Montreal v. Utility Engineers Corporation (Ont CA, 2025) the Ontario Court of Appeal considered whether a guarantee gave rise to a fiduciary duty on the part of the creditor, here to advise the guarantor of the guarantee's implications:
[17] We find no error in the motion judge’s conclusion. She understood the relationship between Mr. Meleknia and Ms. Songhorigakien, and the nature of the transaction was fully on the record before her. An ordinary lender and borrower relationship “does not involve or give rise to a fiduciary duty on the part of the lender towards the borrower”: Baldwin v. Daubney (2006), 2006 CanLII 32901 (ON CA), 83 O.R. (3d) 308 (C.A.), at para. 15, leave to appeal to S.C.C. refused, 31737 (May 3, 2007), and Del Giudice v. Thompson, 2024 ONCA 70, at para. 42.
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