Peter
Cook bought the Courtyard Convenience Store in Hartland in 2019, taking
over its liquor agency store. When the contract with N.B. Liquor ran
out three years later, Cook lost his bid for the agency store. (Jacques Poitras/CBC)
A
judge has reserved his decision in a legal challenge by a Hartland
business owner over what he calls a case of political influence over a
lucrative N.B. Liquor contract.
Peter Cook alleges he
lost a bid to renew his agency store contract in 2021 for political
reasons — because he's a Liberal and because a friend and supporter of
Premier Blaine Higgs chairs the Crown corporation's board.
Cook's
lawyer, Erica Brown, finally laid out his case in Court of King's Bench
Wednesday morning, almost three years after he lost the contract.
But
N.B. Liquor's lawyer, Clarence Bennett, responded that the claims were
"little more than innuendo," telling Justice Terrence Morrison that Cook
and Brown were "on a treasure hunt without a treasure map."
Town
leaders and business executives in Hartland complained that the
decision to award the N.B. Liquor contract to Valu Foods grocery store,
about one kilometre away near the edge of the town, would hurt the
effort to keep the downtown alive. (Mike Heenan/CBC)
Cook
bought the Courtyard Convenience Store in Hartland in 2019, taking over
its liquor agency store, and later spent $800,000 renovating, at N.B.
Liquor's suggestion, his adjacent Fresh Mart grocery store to
accommodate the agency products.
He did that with a
"legitimate expectation" that the contract would be rolled over again
when it expired in 2021, as it had been since the convenience store won
it in 1996, Brown argued.
Instead, N.B. Liquor issued a
new request for proposals in 2021 and awarded it to the Valu Foods
grocery store, about one kilometre away near the edge of the town.
WATCH | 'We did what they asked.' Hartland businessman says on losing liquor contract:
Hartland agency liquor store case heads back to court
Duration 3:25
Peter Cook alleges that N.B. Liquor manipulated selection criteria to award agency store contract to a competitor.
Town leaders and business executives in Hartland complained that the decision would hurt the effort to keep the downtown alive.
Bennett
told Justice Terrence Morrison Wednesday that Cook had "a sense of
entitlement" that the contract would be automatically renewed — but
ought to have known that wasn't a sure thing.
Cook did not take the request for proposals process seriously, said Bennett, with the attitude "I'm going to get it anyway."
"Then he's shocked when a bid that's not very good is unsuccessful."
Andrew
Kinley, lawyer for Valu Foods, agreed that Cook was, in effect, seeking
to hold onto the agency contract "in perpetuity," something he couldn't
do.
The owner of Valu Foods, Richard Orser, did not respond to an interview request from CBC News Tuesday. (Jacques Poitras/CBC)
Cook argues that his bid was superior.
In his first year with the agency store, he said sales jumped $449,000 — an increase of 27 per cent.
But, he said, N.B. Liquor's scoring system for the bids was skewed against him.
A
traffic count used by N.B. Liquor didn't measure vehicles coming toward
the store from the town's iconic covered bridge across the street, from
a street leading from residential neighbourhoods behind the store and
from Main Street, downriver.
"This wasn't a true
reflection of traffic flow," Brown said. "The placement of the counter
at the Fresh Mart was arbitrary and missed a lot of vehicles."
Cook
hired an engineering firm to get his own numbers using counters in all
directions. It showed traffic volumes near his store double that near
the Valu Foods store.
That would have changed the points calculation in Cook's favour, Brown said.
Peter
Cook's lawyer Erica Brown laid out her client's case in court on
Wednesday. Cook also claims that among other errors, the N.B. Liquor
assessment understated his visibility in the heart of Hartland, across
from a major tourist destination, and overstated his competitor's. (Jacques Poitras/CBC)
Cook
also claims the N.B. Liquor assessment understated his visibility in
the heart of Hartland, across from a major tourist destination, and
overstated his competitor's.
Brown told the judge
Wednesday that the scoring didn't award him points for a sign he
committed to install protruding from the building.
Cook
believes the decision was made because he is a known Liberal supporter,
because N.B. Liquor chair John Correia is a prominent Progressive
Conservative close to Premier Blaine Higgs, and because the corporation
favours stores attached to Irving gas stations.
But Bennett said there was no evidence to back up what he called "salacious allegations" and "conspiracy theories."
He
argued Cook lost points in the bidding process for legitimate reasons:
Cook charged a higher commission than the Valu Foods store planned to
and he had shorter opening hours.
"It's their burden,"
he said of Cook and Brown, "to show the unfairness and provide the
evidence that the decision is unreasonable." He argued they had not.
The owner of Valu Foods, Richard Orser, did not respond to an interview request from CBC News Tuesday.
Jacques
Poitras has been CBC's provincial affairs reporter in New Brunswick
since 2000. He grew up in Moncton and covered Parliament in Ottawa for
the New Brunswick Telegraph-Journal. He has reported on every New
Brunswick election since 1995 and won awards from the Radio Television
Digital News Association, the National Newspaper Awards and Amnesty
International. He is also the author of five non-fiction books about New
Brunswick politics and history.
I enjoyed the circus today mainly because it concerned a legal argument
David Amos
"Peter Cook alleges he lost a bid to renew his agency
store contract in 2021 for political reasons — because he's a Liberal
and because a friend and supporter of Premier Blaine Higgs chairs the
Crown corporation's board."
I Agree
Lou Bell
Reply to David Amos
Perhaps you can also tell us how the new Shell at the Nevers Road exit got the contract away from the Irving then .
David Amos
Content Deactivated
Reply to Lou Bell
Ask Higgy
David Amos
Reply to Lou Bell
Why flag me after asking me a question?
David Amos
Content Deactivated
"The owner of Valu Foods, Richard Orser, did not respond to an interview request from CBC News Tuesday."
Go Figure
David Amos
Content Deactivated
"Cook believes the
decision was made because he is a known Liberal supporter, because N.B.
Liquor chair John Correia is a prominent Progressive Conservative close
to Premier Blaine Higgs, and because the corporation favours stores
attached to Irving gas stations."
I concur and all the lawyers know it
David Amos
"But N.B. Liquor's lawyer, Clarence Bennett, responded
that the claims were "little more than innuendo," telling Justice
Terrence Morrison that Cook and Brown were "on a treasure hunt without a
treasure map."
Too Too Funny
G. Timothy Walton
Reply to David Amos
"I can smell that treasure from here! Arrr-ving!"
David Amos
Content Deactivated
Reply to G. Timothy Walton
Bennett needs to review his email account
David Amos
Content Deactivated
Reply to G. Timothy Walton
The one I sent him Sep 14, 2022, 3:41 PM was a dilly
David Amos
Reply to G. Timothy Walton
Trust that you would have enjoyed my reply
David Wilson
Is this even remotely surprising behavior by the Higgs government?
David Amos
Reply to David Wilson
Nope
David Amos
Reply to David Wilson
Yesterday you asked me who cares?
MR Cain
When every third worker in the province is paid by the oligarch, what do we do?
David Amos
Reply to MR Cain
Who is we???
Shawn Tabor
Where there is smoke, there is definitely fire,
a terrible state of affairs we have here in NB. You do not even have to
make this stuff up, it truly happens. Conservatives or Liberals. My
whole life, been watching this, can even go further and say, personally
saw this go down on many different topics. This is not even close to
being a conspiracy or any other name you might want to call it. THIS
TRULY HAPPENS. Listen to a certain family member bragg about it openly,
then it happens. They and others call it BUSINESS in little NB the place
to be where folks and families get wealthy on the backs of taxpayers.
Taxes and death, yee haa. Funny when these humans pass, and who shows up
at the funeral. History can’t make this stuff up.
David Amos
Reply to Shawn Tabor
Too bad you didn't listen to me 20 years ago
Lou Bell
Perhaps JP should check into the new store
being built on the TCH at the Nevers road exit . A Shell getting the
contract that the Irving across the highway has had for years .
Le Wier
Reply to Lou Bell
They sell booze at the Lincoln Big Stop do you
think they will award a contract for selling booze at the new Shell
station you are talking about?
Lou Bell
Reply to Le Wier
They already have the contract . And yes , they are getting the outlet , target , 1st of June .
Lou Bell
Reply to Le Wier
And a close relative of the former Liberal premier at that
Le Wier
Reply to Lou Bell
Oh wow good to know. How many pumps do you think it will have?
Lou Bell
Reply to Le Wier
Sorry to bust the liberal " bubble " , but yup the Shell has the new contract , a done deal
Le Wier
Reply to Lou Bell
Yes you’re right on that one.
Le Wier
Reply to Lou Bell
So Scholten is opening the new Shell station?
David Amos
Reply to Le Wier
Now ya know
Le Wier
Reply to David Amos
That is interesting. One would think with the
push for electric vehicles and the price of gas always on the rise
opening up another gas station wouldn’t be a good business move, but
perhaps that is not the case.
David Amos
Reply to Le Wier
FYI My son owns 3 different models of Teslas a
3, a Y and an X and 2 Harleys as well (one is electric) Yet when he
called me yesterday he was enjoying his only gas powered machine in the
mountains just north of Mexico where he dared not go with his other toys
robert brown
Typical political in a province owned by the Irving's and political hacks
David Amos
Content Deactivated
Reply to robert brown
There another powerful Clan
David Amos
Content Deactivated
Reply to David Amos
Our former Fed Finance Minister married one of them
David Amos
Reply to David Amos
There are others
Samual Johnston
Where does Shell, Petro-Canada, Sholton’s, Co-op, Sobey’s, Esso, C-tire and Costco gas come from?
David Amos
Reply to Samual Johnston
Our pension plans
Douglas James
Some cases are just too obvious to even need a
'trial'. Whenever I see things like this I recall the Hatfield
government's scandal in the late 70s when the Conservatives were taking
kickbacks for liquor hauling contracts. Nothing ever changes. This is
New Brunswick after all, the province where too few people are willing
to admit that both the Conservatives and the Liberals have failed to
improve life here for well over a century and a half.
David Amos
Reply to Douglas James
Perhaps you should run for public office again
Allan Marven
Making nepotism legal is creating much unfairness and incompetence.
David Amos
Reply to Allan Marven
What else is new?
Marc LeBlanc
Taken from the liberal "can you help out a friend of ours" playbook
What irks me is when you tell people about this they give you the "that's been going on forever"response.
David Amos
Content Deactivated
Reply to Marc LeBlanc
Its a dog eat dog world when it comes to politicking
Alison Jackson
Higgy strikes again. Buddies and pals get first dibs just like Dougie in Ontario.
David Amos
Reply to Alison Jackson
Par for the course
Dan Lee
Reply to David Amos
your still not getting your harley back............bahaha
David Amos
Content Deactivated
Reply to Dan Lee
Are you proud of yourself?
David Amos
Content Deactivated
Reply to Dan Lee
Do you enjoy my blog?
David Amos
Reply to Dan Lee
Wow
Bobby Richards
This seemed shady right from the beginning.
David Amos
Reply to Bobby Richards
Of course
Laura Smith
Is it a coincidence that the Irving got the
contract and our Premier used to work for the Irvings? All convenience
stores should sell beer and a limited selection of wine and liquor. Shut
down the NB Liquor stores. Our province is too small to support these
minimum wager workers with their high salaries.
Stephane Bourgoin
Reply to Laura Smith
Some people should check and see how much money
those minimum wager employees you menitonned make for the people of
N.B. Like what over 200 million after all expenses paid? I am sure
that if we got rid of the stores the money would go to the owners and
they would still pay minimum wage. That money would only benefit the
owners. Just what we need the same wealthy people making more money.
David Amos
Reply to Stephane Bourgoin
Well put but at least the taxpayers would be off the hook
Stephane Bourgoin
Reply to Laura Smith
At Least NB liquor actually makes money and
only have a minumum of employees to do it like 500. They do not have
that many people earning over 100k (20) Where you have NB Power that
have 50 people earnign over 250k and and 100 earning over 125k and they
keep losing money. You could say NB Liquor is their savior.
Stephane Bourgoin
Reply to Stephane Bourgoin
And about 700 people between the 100-125k a year
David Amos
Content Deactivated
Reply to Stephane Bourgoin
Perhaps you should check my work within the EUB
Stephane Bourgoin
Reply to Laura Smith
I also didnt mention the NB power bonuses for not making money
David Amos
Content Deactivated
Reply to Laura Smith
It appears that your opponent is ignoring me
Shawn Tabor
Reply to David Amos
Well said, good statement
David Amos
Content Deactivated
Reply to Shawn Tabor
There were others but they went "Poof" as usual
William Murdoch
Is it true that the new Sholten's when it opens (Lincoln exit TCH) up across the highway?
Bobby Richards
Reply to William Murdoch
You're not asking a question.
William Murdoch
Reply to Bobby Richards
Rumour has it that they will be the new outlet.
David Amos
Reply to William Murdoch
Ask them
Le Wier
Reply to William Murdoch
Why would they open a new gas station so close to the Irving Big Stop?
Le Wier Reply to William Murdoch
The Scholten is ran by Alex Scholten who also
is a part owner of Victory Meat Market Fredericton and he ran last
election for the Liberals.
David Amos
Reply to Le Wier
Remember the fracas up on the Hanwell when Daniel Allain was boss of NB Liqour???
Le Wier Reply to David Amos
I didn’t until you mentioned it. It’s almost like Deja vu.
David Amos
Reply to Le Wier
C'est Vrai
rayma allaby
why would you put the liquor store out by value
foods when there is a grocery store right near where the liquor store
used to be...doesn't make sense..but irving gas stations with stores
connected to them make great deals eh higgsie
William Murdoch
Reply to rayma allaby
What about the new Sholten's at the Lincoln exit.
Samual Johnston
Reply to rayma allaby
So you are against a transparent tendering
system just go with whatever makes sense to you? There may be an issue
with this particular process but not the concept
Bobby Richards
Reply to rayma allaby
Higgs thinks he is untouchable
rayma allaby
Reply to William Murdoch
william i don't live near lincoln..i live near
hartland. and unless the story involves fredericton i tend not to
comment because i don't know enough about the situation...but if you are
saying a liberal got a break..well gotta keep the opposite vote as well
cause you gotta make it look good.
rayma allaby
Reply to Samual Johnston
i am saying that that the liquor store had been
in that spot for over 20 years. higgsie comes in and all of a sudden
omg we gotta get it up by the irving gas.
Bud Gardiner
Reply to Bobby Richards
Couldn’t agree more. Both he and the Chair of NB liquor think the same way.
I’d like to know if the so-called NB Liquor
whistleblower –who reported 34 examples of "financial, ethical and
illegal irregularities" at the agency - from a couple of years ago was
ordered to turn over the documents containing “alarming information in
Hartland case” (from CBC article Nov./21) Clark’s lawyer, Ms. Brown,
requested.
David Amos Reply to Samual Johnston
Surely you jest
Samual Johnston
Reply to rayma allaby
Or the store has been awarded the contract the
past twenty years and then a new company submits a competing submission
and is awarded the contract. Was the original award given because he
was liberal or maybe no competition? Either way the tender system is the
way to go.
David Amos Reply to Bud Gardiner
Good question
Bud Gardiner
Reply to Bud Gardiner
** Cook's** lawyer. Apologies
Daniel Henwell
beer wine and liquor should be allowed in all grocery and convenience stores
David Amos Reply to Daniel Henwell
I disagree
Jack Straw
Does anyone really believe that there is no political interference in New Brunswick? Really?
rayma allaby
Reply to Jack Straw
i don't ..
Sam Brown
Reply to Jack Straw
To Rayma Allaby....
Do you really believe in what you are saying ?
Good Day....
Eugene Peabody
Reply to Jack Straw
And this is just the latest example of awarding
your friends and punishing the other guys. This is why the Tory
supporters are always loyal no matter what, they expect to be rewarded
at some time.
David Amos
Content Deactivated
Reply to Eugene Peabody
Your buddies are no better
David Amos
Reply to Sam Brown
I doubt it
David Amos
Reply to Eugene Peabody
Oh my my
Ralston Cadman
Ok. Contract originally awarded under red rule.
Then changed under blue rule. Wondering if the red supporter would
object if it happened the other way? Not likely. Time to make this
product available for whatever businesses that want to hawk it to
whomever.
David Amos
Reply to Ralston Cadman
Alberta does it that way
SW Home
Is that Irving gas they sell. Must be just a coincidence.
Ralston Cadman
Reply to SW Home
David Amos
Reply to Ralston Cadman
Follow the money
James Johnstone
It is amazing how one word with six letters
affects this province. That word starts with an I and ends with a G.
It's a very sad situation for the citizens who are not recognized by
this organization.
MR Cain
Reply to James Johnstone
As the 2nd largest employer in the province, plenty of citizens are recognized.
James Johnstone
Reply to MR Cain
So we should give them free reign, give them
rights to all business that they desire, stamp out their competition and
allow them to control the province. Interesting!
MR Cain
Reply to James Johnstone
Your story, not mine.
Dan Lee
Reply to MR Cain
ahhh bud they are only words but they do tell the truth
MR Cain
Reply to Dan Lee
Only part of the truth
David Amos
Reply to Dan Lee
Two peas in a pod
David Amos
Reply to James Johnstone
History has proven that fact
Shawn Tabor
Reply to David Amos
A very true fact. Undisputed completely. Common knowledge if you pay attention.
Samual Johnston
"...spent $800,000 renovating, at N.B. Liquor's
suggestion." that is different than the video where the reporter says
the money was spent to meet the commissions recommendations and he did
what they asked. Who spends $800,000 on a suggestion when the contract
is up in a couple years with out something in writing? Now if the
traffic survey complaint is true and to would have changed the result he
has a great case. He should focus on the facts though not the politics
that cannot be proven. - like did the original contract get awarded
because the prev owner was liberal ?
Samual Johnston
one owner was liberal one owner was conservative - well that pretty much sums up the Province --not exactly a smoking gun.
Dan Lee
Reply to Samual Johnston
but one was i.r.v..i.n.g
David Amos
Content Deactivated
Reply to Dan Lee
They enjoy my blog
David Amos
Reply to Samual Johnston
The result of the lawsuit should be very interesting indeed
I Agree
Go Figure