Lerners LLP appellate lawyer, Jasmine Akbarali, provides a summary of Lerners Top 5 Ontario civil appeals decisions from November 2012.

1.) Treat America Limited v. Leonidas: In this case, the appellant appealed the enforcement of a letter of request requiring him to give deposition evidence in the United States. The evidence related to an ongoing criminal investigation against him in Canada. He was concerned that the enforcement of the LOR would violate his privilege against self-incrimination. The Court of Appeal held that s. 13 of the Charter provides use immunity only. It upheld the letter of request subject to certain conditions that it found were sufficient to protect his right not to incriminate himself.

2.) Sino-Forest Corporation (Re): In this case, decided under the Companies' Creditors Arrangement Act, shareholders had commenced claims against a company in respect of their equity interests in it, and included claims against the company's auditors and underwriters. The auditors and underwriters in turn claimed contribution and indemnity against the company. The issue before the court was whether the claims for contribution and indemnity were equity claims for purposes of the Act. The court concluded, based on the wording of the relevant section, that they were equity claims. This was also consistent with the policy behind the Act, which provides that the assets of the company not be diminished until the general creditors' claims are satisfied in full. If claims for contribution or indemnity were not equity claims, that would result in diminishment of the assets of the company that would be available to satisfy the general creditors' claims.

3.) Locking v. Armtec Infrastructure Inc.: This decision considered the appropriate appeal route from a carriage motion. The court looked at the provisions of the Class Proceedings Act, 1992, and noted that, although a number of appeal routes were set out in that Act, it was silent with respect to carriage motions. Thus, the appeal route for a carriage motion had to be determined by the Courts of Justice Act. It concluded that a carriage order is an interlocutory order, such that the appropriate appeal route is to the Divisional Court with leave.

4.) AIM Health Group Inc. v. 40 Finchgate Limited Partnership: This case involved the interpretation of an overholding provision in a lease. A tenant did not exercise a renewal provision in the lease but advised its landlord that it needed to remain in possession beyond lease term. The landlord did not agree. When the tenant failed to vacate at the end of the lease term, litigation ensued. The tenant argued that because the overholding clause did not explicitly require consent of the landlord, it was validly in possession of the premises pursuant to the clause. This position was accepted by Gillese J.A. in dissent. However, Feldman J.A., writing for the majority, disagreed, finding that the landlord's consent is required even though the overholding provision did not say so explicitly. This was consistent with judicial authority and commercial reasonableness. Consent is most normally evidenced by the payment and acceptance of rent.

5.) Martin v. Fleming: In this case, the insured was injured in two separate automobile accidents and the claims arising out of those accidents were being tried together to facilitate the assessment of damages. The Insurance Act provides for a statutory deductible in the case of non-pecuniary damage awards arising out of auto accidents. The question before the court was, given that these were two separate claims tried together, were they subject to one deductible or one deducible each, or one deductible? The Court concluded, based on the wording of the provision, that they were subject to one deductible each, or two deductibles in total.

Originally published on 19 December 2012

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