Fire officials confirmed a December 2016 fire at a historic hotel in the Banff townsite was sparked by a propane torch left near combustible material by contracted workers. Now, the company that owns the hotel is taking legal action against the roofing company seeking compensation.

On January 17, Brewster Inc. filed a $50 million lawsuit against Rocky Mountain Sundeck and Roof Ltd. (RMSR), any subcontractor that worked on the roof (referred to as ABC Corporation) and the unnamed roof workers (John Doe), in connection with the fire at the Mount Royal Hotel on Banff Avenue.

Brewster Inc. claims a propane fired tiger torch that had been used to secure roofing materials to the roof came into contact with combustible materials and the hot embers dropped into the gap between the roof and parapet wall and the resulting fire caused extensive damage to the hotel.

"The Fire and resulting losses, damages and expenses, was caused by the negligence, breach of duty, breach of contract (express or implied) and/or breach of statue by RMSR"

In the lawsuit, the company claims the losses, damages and expenses that resulted from the fire amount to $50 million. Brewster Inc. says in addition to the cost of repairs to the building, the company suffered interruptions to its business and the hotel's value diminished.

At the time of the fire, 297 guests were staying at the Mount Royal Hotel and all escaped the building unharmed. Fire crews from Banff, Canmore, Lake Louise and Exshaw extinguished the blaze but the hotel’s roof was significantly damaged by fire and water.

Officials with Banff Jasper Collection by Pursuit, a division of Brewster Inc., issued the following statement to CTV Calgary in response to the lawsuit.

“We are focused on rebuilding the Mount Royal Hotel and delivering an outstanding new hotel experience in Banff. As a matter of policy, we are unable to comment on the specifics of this dispute.”

Rocky Mountain Sundance and Roof declined to comment on the allegations that have not been proven in court. At this time, a statement of defence has not been filed.

Brewster Travel Canada expects to welcome guests back to the Mount Royal Hotel in the summer of 2018.

With files from CTV's Stephanie Wiebe