Former tenants of Penhold's Wild Rose Manor have launched a $10-million lawsuit against their past landlords -- two years after a devastating fire completely destroyed their homes in the affordable housing building.
A statement of claim was recently filed in Edmonton Court of Queen's Bench that alleges the losses endured by the 18 tenants from the April 10, 2014 fire were the result of “negligence or gross negligence” of the eight named defendants.
Specifically, the statement of claim includes allegations the defendants failed to set up safety precautions to prevent the risk of fire in the building or properly train the plaintiffs on safety procedures. The statement of claim alleged the defendants failed to warn the plaintiffs of the risk of tenancy and further failed to equip the building with “necessary required” safety and fire prevention equipment.
The statement of claim further alleges the defendants failed to properly supervise and enforce safety procedures. As well, the statement of claim alleges the defendants failed to properly inspect Wild Rose Manor or comply with provincial health and safety standards, as well as legislated fire safety regulations.
None of the allegations contained in the statement of claim have been proven in court.
Along with the $10 million damages sought by the plaintiffs, the statement of claim is also seeking pre-judgment interest and taxable costs and disbursements.
“We will be defending ourself against it, but other than that I can't do any kind of a comment. It is going to be in front of the courts,” said Jim Guilbault, the former principal owner of Wild Rose Manor, when contacted last week by the Province. However, he did concede he was surprised over the lawsuit's allegations. “We just have to let it work its way through the system and see where we go from there,” he said. “We will be defending ourselves on that one, yes.”
Guilbault has sold the property at 40 Esther Close, and no longer has any business interests in Penhold. The site has since undergone redevelopment for a two-building, 13-townhouse housing project called Severin Place that cost more than $2 million to complete.
The fire at the three-storey, 18-unit Wild Rose Manor building, which was more than 40 years old and had no sprinkler system, is considered to be the worst in the town's 113-year history, at least since a blaze more than 30 years ago that destroyed a wooden country grain elevator.
The Wild Rose Manor fire began in the late afternoon on April 10, 2014. The building collapsed within an hour from the start of the blaze. There were no fatalities or injuries to the more than 30 tenants who lived in the building. However, nine family cats perished.
Fire officials initially believed the blaze may have started in a second-floor balcony barbecue but that theory was not proven during a subsequent investigation. Thirteen months after the blaze, the provincial Office of the Fire Commissioner concluded the cause was “undetermined.”
Meanwhile, the 18 named tenants on the statement of claim have hired Edmonton lawyer Andrea Luft to represent them.
She said her firm, Parlee McLaws Barristers & Solicitors, has not yet received a statement of defence from the defendants.
“It's very early on in this matter. The claim has been filed and that is as far as we have gotten,” said Luft. “Typically litigation proceeds in a kind of linear fashion. There are a number of steps that have to be undertaken before you would even consider a trial.
“Litigation is a time-consuming, lengthy process,” she added. “We are in the process of waiting for the statement of defence, and after that we move forward with exploring with some other options as far as proceeding either litigacy or perhaps finding alternative manners to which resolve.”
The Province has obtained a letter sent by the Edmonton law firm to the plaintiffs confirming the court filing of the statement of claim, and to set up meetings with each of the 18 clients in Red Deer from May 12 to 14. The meetings are being held to discuss client obligations “with respect to document production”, said the letter.
Luft declined to comment on the correspondence.
Jim Guilbault, former Wild Rose Manor owner
"We will be defending ourself against it, but other than that I can't do any kind of a comment. It is going to be in front of the courts."
