Armada Lines Ltd v Chaleur Fertilizers Ltd - Supreme Court (La Forest, L’Heureux-Dubé, Sopinka, Gonthier, Cory, Iacobucci and Major JJ) - 26 June 1997

Cargo arrested by shipowners without legal justification - Whether cargo owners entitled to loss of interest in posting security and for loss of use of working capital

The Federal Court of Appeal held that the arrest of cargo by shipowners had been “without legal justification”, and had awarded the cargo owners “damages” for loss of interest in posting security and for loss of use of working capital.