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N.B. village drops lawsuit against company involved in land dispute

A person walks by the Cap-Pelé municipal building on Jan. 2, 2020.
A person walks by the Cap-Pelé municipal building on Jan. 2, 2020. Callum Smith / Global News

The Village of Cap-Pelé is dropping a lawsuit against a company that purchased a parcel of land from the village for $1 before selling it for a $1.8-million profit.

In a statement to Global News, Village of Cap-Pelé lawyer Catherine Blomquist said a notice of discontinuance was filed with the Court of Queen’s Bench in Moncton on Jan. 9.

READ MORE: N.B. village launches lawsuit after company allegedly turns $1 land sale into $1.8-million profit

Blomquist would not comment past that statement.

A statement of claim indicates that on Nov. 3, 2010, the village sold a piece of land on Acadia Avenue to Gestions CJMPR Holdings Ltée/Ltd. with an agreement that the company would provide a pharmacy and a medical clinic to accommodate three family doctors.

Cap Pele in legal battle against developer
Cap Pele in legal battle against developer

The claim says that if the third-party company, which has since dissolved, was to sell the land, it would need to repay the village the land value at the time of sale.

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According to the claim, Gestions CJMPR Holdings Ltée/Ltd. sold the land for $1.875 million in March 2017.

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The village was seeking $87,500, which it said was the value of the land at the time of the first sale.

The reason for the notice of discontinuance being filed is unclear.

— With files from Global News’ Callum Smith