What is the test for a lessor to exercise the full extent of his right to terminate a lease?
Ontario, Canada
The following excerpt is from Country Style Food Services Inc. v. 1304271 Ontario Ltd., 2003 CanLII 13614 (ON SC):
In such circumstances, the often-cited words of Mr. Justice Falconbridge in the case of Ellis v. White, O.W.R., 1908, are apt: It is a general principle that a grantor may not derogate from his own grant and that such grant is always construed strictly against him. It follows that a lessor retains, as a rule, no rights over premises demised by him, although actually exercised at the time of severance, and not merely in contemplation, except as are reserved to him by the lease in clear and express terms.
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