What is the test for establishing express acceptance by a creditor to a debtor in a dispute over a debt?

British Columbia, Canada


The following excerpt is from IBI Group v. Le Fevre & Co. Property Agents, 2003 BCPC 26 (CanLII):

I have considered the well researched cases offered by counsel. I find that Champlain Ready-Mixed Concrete v. Beaupre,supra, at 568-570 sets out the legal principles which are applicable but the facts differ from the case at bar. There, the quantum of the debt was not disputed. The debtor was in financial difficulties. The debtor had made an earlier offer of 50 cents on the dollar which the creditor had expressly rejected. Although the debtor was aware that its offer would not satisfy the creditor, he nonetheless sent a cheque for half the debt on the reverse of which he wrote that it was accepted as payment in full. The fact that the cheque was cashed was found to be insufficient to establish express acceptance by the creditor having regard to the earlier rejection of the very offer.

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