Joint and several contracts
A joint and several contract is one in which two or more parties promise the same obligation so that each is liable for the whole, and the other party may sue any one, some or all of them. A party who pays more than its share can usually seek contribution from the others.
How BC law treats it
In BC, whether contractual liability is joint, several, or joint and several depends on the wording of the contract. Clear joint and several language is common in loan agreements, guarantees and leases with multiple tenants.
What it means for your business
A BC business signing with co-obligors should assume it may have to pay the entire obligation.
Risks and common mistakes
Agreeing to joint and several liability with a partner who has few assets can leave the business paying the whole debt with little practical contribution.
For the full explanation, see our entry on Joint and several liability.
General information about British Columbia and Canadian law, current to October 2026. It is not legal advice.
