Parker Lands legal battle over after Supreme Court decision

A legal saga involving the Parker Lands in Winnipeg has come to an end after the Supreme Court of Canada refused to hear an appeal over a $5-million judgment.

In an online notice Thursday, the Supreme Court notes it has dismissed a developer’s request that it cast the final decision on the matter.

As a result, a Manitoba Court of Appeal decision to overturn an order that the city pay $5 million in damages over its handling of a major housing project for the site is final.

“The application for leave to appeal from the judgment of the Court of Appeal of Manitoba… is dismissed with costs,” the post says.

The penalty against the city was initially ordered in a July 2023 legal ruling, which found two city employees deliberately stalled the Fulton Grove development of the property. The employees were found liable for “misfeasance in public office.”

In April 2025, an appeal judge rejected that conclusion and concluded the city should no longer be held “vicariously liable” for the delay.

Mayor Scott Gillingham welcomed the decision not to revisit the matter in court.

“I’m glad to see that outcome. I think the focus now is getting those lands developed… We want to see housing developed on those sites as soon as possible,” said Gillingham, in a telephone interview from Ottawa Thursday.

The Fulton Grove project aims to create about 1,900 housing units on 47 acres of south Winnipeg land surrounded by the CN Railway Rivers line and the southwest rapid transitway.

A planning company involved with the project recently applied for a one-year extension to secure utility easements and complete a servicing agreement for the property. City council extended the deadline for that work to Dec. 12, 2026.

The mayor said he hopes the project can move forward quickly after that date.

“Even through this legal process, the city has been working with the developer. We all want to see those… lands developed as soon as possible,” said Gillingham.

There is some relief in having this legal issue resolved, he said.

“Now we can move ahead. I think anytime there’s legal matters involved there’s some focus on what’s going on in the courts. Now, the matter’s behind us,” he said.

The court challenge stemmed from developer Gem Equities’ claim that city officials abused their positions by stalling progress on the housing project for years — something the city denied.

Gem Equities submitted a draft secondary plan to develop the Parker Lands in spring 2014. However, city council did not give final approval to the proposal until November 2020, after years of delays and legal battles.

The approval also came after Gem obtained a court order that required council to consider the project.

Gem Equities owner Andrew Marquess and his lawyer, Kevin Toyne, did not grant interview requests Thursday.

In an email, Marquess said his top priority is to get the project built as soon as possible.

“For the past 12 years, my team and I have pursued the development of much-needed housing to be built on the Parker Lands for the benefit of all Winnipeggers. Those efforts continued while the courts analyzed the conduct of the defendants and they will continue now that the Supreme Court has declined… our request to consider the case. With the help of Mayor Gillingham, I am hopeful that we can finally see shovels in the ground by the end of this year,” he wrote.

In a written statement, Toyne restated his belief that the case has national significance.

“Canadians rightfully look to the Supreme Court of Canada to establish and keep current the rules used to decide when and how government officials can be held accountable for wrongdoing. However, even though this case raises important and timely issues regarding when and how government officials can be held accountable for wrongdoing, the likelihood that the Supreme Court would agree to hear a civil case from Manitoba is effectively zero,” he wrote.

A city spokesman also did not grant an interview request. In a brief email, he noted municipal officials “welcome” the Supreme Court decision.

joyanne.pursaga@freepress.mb.ca

X: @joyanne_pursaga