ARTICLE
14 April 2025

Civil Rules Review Phase 2 Consultation Paper: Civil Litigation Reimagined

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McCarthy Tétrault LLP

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The Rules of Civil Procedure are being reimagined in Ontario. On April 1, 2025, the Civil Rules Review ("CRR") Working Group published its Phase 2...
Canada Litigation, Mediation & Arbitration

The Rules of Civil Procedure are being reimagined in Ontario. On April 1, 2025, the Civil Rules Review ("CRR") Working Group published its Phase 2 Consultation Paper (the "Paper"), which outlines a new framework proposed for Ontario's civil procedure.

The proposed framework will apply to all civil cases in the Ontario Superior Court of Justice, excluding the Small Claims Court. Modifications will be made for proceedings under the Class Proceedings Act, the Bankruptcy and Insolvency Act, non-contentious estate proceedings, and claims brought by Indigenous people or communities alleging infringement or breach of section 35 of the Constitution Act, 1982.

The Paper reviews the areas of concern in Ontario's civil justice system that justify wide-ranging reforms: limited access to justice, runaway costs, and excessive delays. In response, the CRR has proposed wide-ranging changes to the civil litigation process to increase efficiency, limit interlocutory motions, and reduce cost.

Summary of the Key Changes

The Paper includes the following major changes:

  • A new pre-litigation protocol for specific cases, such as personal injury claims, debt collection claims, and testamentary disputes. The protocol aims to encourage communication between parties, documentary exchange, and mediation discussions before court proceedings. The goal is to facilitate information sharing, narrow disputes, encourage early settlement, and emphasize that litigation should be a last resort.
  • An online-only entry point to the system, rather than the current hybrid status quo.
  • Proceedings required or authorized to proceed by way of application pursuant to statute or Rule 14.05(3)(a)-(g.1) proceed directly to Directions Conferences to schedule the exchange of materials, as necessary, followed by a paper-based dispositive hearing. For all other actions, Directions Conferences are intended to address outstanding issues, schedule necessary motions, mediation, exchange of expert reports, a trial management conference, or a dispositive hearing.
  • Service of originating processes by email will be permitted to make service easier.
  • Parties will be required to engage in an up-front exchange of evidence once pleadings are completed through (i) sworn (or affirmed) witness statements, and (ii) documentary disclosure. The proposed process seeks to front-load documentary disclosure using a modified reliance-based standard: parties will be required to disclose the records they intend to rely on to prove their case. There is also a positive obligation to disclose all known "adverse" documents in a party's possession (although the definition of "adverse" remains in development).
  • Oral examinations for discovery are being eliminated altogether.
  • Parties will attend a case conference after the exchange of evidence. Those needing minimal court involvement will attend a One Year Scheduling Conference, while those requiring more court involvement will attend Directions Conferences. The goal is to schedule dispositive hearings for most claims within two years of commencement.
  • Joint experts will be presumptively required for a standardized list of issues involving mathematical calculations or that are otherwise amenable to a joint litigation expert. Only where a joint expert is not suitable may parties retain their own experts. Failure to reasonably consider a joint expert could have cost consequences.
  • There will be a per diem penalty imposed on parties who miss deadlines and pleadings will be struck if a party misses a hearing date.
  • There will be a presumption of full indemnity costs for frivolous pleadings, frivolous motions and other egregious conduct.

Conclusion

The Paper reimagines civil litigation in Ontario which will undoubtedly change how disputes are litigated. The CRR is soliciting comments on the proposed reforms until June 16, 2025.1 Following the consultation, the CRR's communicated intention is to deliver a final proposal in July 2025 with the proposed reforms entering into force in 2026.

McCarthy Tétrault continues to monitor and report on these proposals developments. When finalized and enacted, the proposed reforms will have significant implications for your organization's approach to disputes. For further assistance or questions, please contact our Litigation and Dispute Resolution team.

Footnote

1. Note that any responses provided may be disclosable under the Freedom of Information and Protection of Privacy Act.

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The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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