Law360 Canada (December 7, 2022, 6:46 AM EST) -- Application by the Emonds for the interpretation of a homeowners’ insurance policy. The application for interpretation included guaranteed rebuilding cost (GRC) coverage, an exclusion for the increased costs of repair or replacement due to the operation of any law, and additional building by-law and code compliance (BBCC) coverage up to $10,000. On April 29, 2019, the Emonds’ home was severely damaged by a flood. Because of the damage, the home was deemed a total loss. At the time of the loss, the Emonds’ home was insured by Trillium. The Emonds purchased the Homeowners Package Comprehensive Form, which included the GRC endorsement. The Emonds’ expectation was that if their home was ever destroyed by an insured peril, Trillium would pay for the full costs associated with rebuilding or replacing their home in accordance with the requirements of the GRC endorsement. The Emonds’ position was that the GRC coverage in their policy provided them with guaranteed rebuilding costs to rebuild their home without limitation. In the alternative, they relied on the nullification of coverage doctrine because it was inconsistent with the main purpose of the GRC coverage....