Justice Howe, a member of the Supreme Court of Canada, is deciding a case that deals with a complicated commercial agreement between two sophisticated and experienced companies. The resolution of the case depends upon the interpretation of several clauses in that agreement. Which of the following statements is TRUE?
A) Given the nature of the parties and the contract, Justice Howe cannot decide that their agreement contains implied terms.
B) In order to decide the case, the judge may need to know which party drafted the agreement.
C) The golden rule of interpretation, which says "do unto others as you would have others do unto you," requires the judge to adopt whichever interpretation of the contract that favours both parties equally.
D) The contextual approach to interpretation requires a particular clause to be interpreted exclusively by reference to its own terms and the terms of the other clauses within the contract.
E) The general rules governing the interpretation of contracts do not apply in the Supreme Court of Canada because that court is expected to arrive at the fairest result regardless of the rules.
Correct Answer:
Verified
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