Divisional Court Says Mediator Can’t Be Forced to Testify

confidential.jpgIn Rudd v. Trossacs Investments Inc., the Divisional Court has ruled that a party to a settlement reached at a mandatory mediation could not examine the mediator as a witness on a subsequent motion seeking rectification of the settlement.

Justices Edward Then, James Carnwath and Katherine Swinton were hearing an appeal from an order made by Superior Court Justice Sidney Lederman. In this lawsuit, the plaintiffs were investors in a limited partnership. They sued the general partner, some related companies and their accountant. One of the defendants, Morris Kaiser, was sued in his personal capacity and was also a principal of some of the corporate defendants. Kaiser brought a motion for summary judgment, seeking dismissal of the action as against him personally. The motion was unopposed and was granted by Justice Susan Himel. Her Honour also awarded costs to Kaiser, in an amount exceeding  $39,000. Counsel for the plaintiffs submitted that Himel J. had made an error in calculating the costs and that a reduction should be made. While Justice Himel was considering this submission, the lawsuit continued against the defendants other than Kaiser.

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Proof of Delivery of Insurance Policy a Prerequisite to Enforcing Exclusion?

Today’s decision in Hazan v. ING Insurance Company of Canada considers (but does not decide) an interesting issue in Ontario insurance law: must an insurer prove that it has delivered a copy of the insurance policy to the insured before it is entitled to rely on a policy exclusion? In this case, a definitive answer to the question has been deferred to the trial judge. But the reasons for judgment of Mr. Justice James Carnwath on this motion for summary judgment certainly give the insured Hazan some reason for optimism.

Here, the insureds had claimed against ING for water damage to their home. The water had escaped from a frozen pipe. ING denied the claim, relying on a policy provision to the effect that “a loss or damage occurring as a result of freezing or flooding is not covered unless arrangements were made for a competent person to enter the house each day to ensure adequate heating, or the water pipes were drained and shut off, or the plumbing and heating systems were monitored by an alarm station twenty-four hours a day”.

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S.C.C. Won’t Hear Seatbelt Appeal

seatbelt.jpgThe Supreme Court of Canada today refused leave to appeal the Court of Appeal’s decision in Snushall v. Fulsang. That was the ruling given last September, in which the Court of Appeal held that contributory negligence for failure to wear a seatbelt should fall in a range of 0 to 25 per cent. Only when use of a seatbelt would have prevented substantially all of the plaintiff’s injuries should the apportionment of contributory negligence reach the 25% level.

So, the Snushall rule is now well-entrenched as the law in Ontario.

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Homeowners Not Liable for Slip and Fall on Adjacent City Sidewalk

sidewalk.jpg Justice Mary J. Nolan of the Ontario Superior Court dismissed a slip and fall action against homeowners whose property lay next to a municipal sidewalk. In Peterson v. Windsor, The plaintiff had slipped on the sidewalk and sued both the city and the homeowners. The defendant homeowners brought this motion for summary judgment and Justice Nolan granted it. In her reasons, she discussed the circumstances in which a homeowner can be liable for accidents that occur on adjacent property, owned by the municipality.

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Damages Compendium

body.jpgFrom time to time in our Update newsletters, we have alerted our subscribers to an invaluable resource for judges, masters, practitioners and insurance claims personnel. It is the “Damages Compendium“, prepared under the auspices of the County of Carleton Law Association. We have had many requests for copies of the Compendium, so we have provided the above link to it.

What is a “damages compendium”? It is a summary of damages assessments made by Ontario courts and organized by subject-matter (neck, back, wrist, brain, etc.) The first version of the compendium was prepared under the direction of then-Justice James Chadwick of the Superior Court. Since his retirement from the bench, Mr. Chadwick has remained involved and an updated version of the compendium, covering cases from January, 1999 to November, 2005 was released last year. (The previous version, covering the period from 1990-1999, can also be obtained by using the above link.)

Both documents (“Compendia”?) are in Adobe Acrobat format, so if you don’t already have this free software on your computer (we’ve encountered the occasional judge who doesn’t!), you can download it here.

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Defendant Ordered to Pay Costs of $120,000 in Simplified Rules Action

images[1].jpgIn actions brought under simplified procedure (also known as “Rule 76” actions), the plaintiff’s claim is generally limited to a maximum of $50,000. Examinations for discovery and pre-trial cross-examinations aren’t allowed. The whole process is supposed to be streamlined so as to reduce the expense of litigation.

It doesn’t always work out that way. In Inscan Contractors (Ontario) Inc. v. Halton District School Board and Decommissioning Consulting Services Ltd., the plaintiff recovered damages of $50,000 (the maximum) against the defendant Halton. The action was dismissed as against the defendant DCS. But the losing defendant, Halton, was ordered to pay costs that were almost two and a half times the amount of the plaintiff’s claim.

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Two Courts Deny Relief from Forfeiture

In two Ontario Superior Court decisions released this week, insureds have been denied relief from forfeiture in actions against their insurers. The first is Niagara Gorge Jet Boating Ltd. v. AXA Canada Inc

This is a decision of Madam Justice Linda M. Walters. In this motion, the plaintiff, Niagara Gorge Jet Boating Ltd., was seeking a declaration that its liability insurer, AXA Canada, had a duty to defend it in an action arising from a 1995 accident. AXA had denied coverage on the ground of late reporting of the claim. Niagara operated jet boat tours of the Niagara River. On July 2, 1995, one Patrick McCarthy moored his yacht directly in the path used by Niagara’s jet boats. Four days later, on July 6, 1995, Niagara received a letter from McCarthy, giving notice of a claim for damages as a result of the way in which its jet boats had been operated on July 2. (It appears that the claim was one for personal injuries.)

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Commercial Host Liable for Some of Plaintiff’s Contributory Negligence

beer.jpgThe Court of Appeal released an interesting decision this afternoon, dealing with several issues. Most significantly, the case addressed the extent to which a commercial host, found to have over-served both a driver and a passenger, can be held responsible for a portion of the passenger’s contributory negligence for having accepted a drive from the intoxicated driver.

Today’s ruling represented supplementary reasons in Pilon v. Janveaux et al. The previous reasons for judgment of the Court of Appeal can be found here and the trial decision here.

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Brak v. Walsh (New Threshold Decision)

A decision dealing with the Insurance Act threshold was released this afternoon by Superior Court Justice Gordon Killeen, in Brak v. Walsh. Justice Killeen found that, in this case, the threshold had not been met. This was a motor vehicle case which was tried by Justice Killeen with a jury. It arose out of an accident that happened on January 8, 2000. The plaintiff suffered (1) two fractured ribs on the left side; (2) a laceration to the spleen; (3) a collapsed lung. 

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S.C.C. Grants Leave in Citadel v. Vytlingam

The Supreme Court of Canada this morning granted leave to Citadel Insurance to appeal last year’s decision of the Ontario Court of Appeal in Vytlingam v. Farmer et al. Subscribers will recall that in that case, three North Carolina youths placed boulders in their car, drove to an overpass, got out and dropped one of the boulders on the unlucky Vytlingam, who happened to be driving beneath the overpass. He suffered very serious injuries when the falling boulder crashed through the windshield of his car.

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