There was what Newbury JA of the BC Court of Appeal called 'a very unfortunate turn of events' at a social function for associates and students of a Vancouver law firm: Poole v Lombard General Insurance Co of Canada, 2102 BCCA 434. After a firm-sponsored dinner at a restaurant, some young members of the firm went on to a nightclub. That portion of the evening was voluntary although typical of similar evenings in the past. Poole (an associate) fell on Danicek (a student) on the dancefloor, causing brain injuries. Poole admitted liability and ultimately settled with Danicek, but claimed coverage under the firm's insurance policy and challenged the insurer's denial of that coverage. The trial judge held that the insurer had a duty to defend Poole from the claim brought by Danicek, but that the latter's claim was not covered by the firm's policy given that the claims did not arise 'out of or in the course of' her employment with the firm. Poole appealed on the coverage point.
Madam Justice Newbury (her colleagues concurring) agreed with Poole that the reference in the policy to 'any employee .. with respect to their [sic] employment' should be interpreted broadly to include a student like Danicek who was attending a function that had some connection with her work, even if the nightclub portion of the evening had not been part of the official programme. Justice Newbury agreed with the trial judge, however, that Poole was, when he fell on Danicek, not acting 'with respect to his employment' (even though that phrase is broader than the 'in the course of his or her employment' language elsewhere in the policy). Poole was thus outside the scope of coverage provided by the policy; it could not be said that 'any connection, however tenuous' to Poole and Danicek's work was sufficient to bring a nightclub dancing accident within the four corners of the policy. The policy's language required 'that a line be drawn on a commercially reasonable basis between what are essentially firm functions and what are essentially social functions – notwithstanding some weak connection between the latter and an insured's employment.'
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