Court Of Appeal Summaries (March 15 ' 19, 2021)

• Published date: 22 March 2021
• Subject Matter: Corporate/Commercial Law, Insurance, Litigation, Mediation & Arbitration, Real Estate and Construction, Family and Matrimonial, Cannabis & Hemp, Corporate and Company Law, Family Law, Insurance Laws and Products, Court Procedure, Trials & Appeals & Compensation, Landlord & Tenant - Leases, Securities, Civil Law
• Law Firm: Blaney McMurtry LLP
• Author: Mr John Polyzogopoulos

Good afternoon.

Following are this week's summaries of the civil decisions of the Court of Appeal for Ontario.

Topics covered included insurance coverage and the duty to defend a data breach class action, contempt in a commercial lease/subdivision control matter, the striking of a claim as an abuse of process in a child protection context, the revival of a claim of malicious prosecution against the OSC that had been struck and security for costs in a family law/constructive trust claim.

Please mark down April 27, 2021, from 5:30-7:45pm in your calendars for our fifth annual "Top Appeals" CLE, which will take place via Zoom. Justice Benjamin Zarnett will be co-chairing the event with myself and Chloe Snider of Dentons. Following is our excellent slate of decisions and speakers:

2020 Update from the Bench

The Honourable Benjamin Zarnett, Court of Appeal for Ontario

Panel 1 - Advocacy Practice Tips from the Court

Girao v. Cunningham, 2020 ONCA 260

OZ Merchandising Inc. v. Canadian Professional Soccer League Inc., 2020 ONCA 532

Welton v. United Lands Corporation Limited, 2020 ONCA 322

Jordan Goldblatt, Adair Goldblatt Bieber LLP

Sara Erskine, Weintraub Erskine Huang LLP

Panel 2 - Negligently Designed Financial Products - A New Age in Product Liability?

Wright v. Horizons ETFS Management (Canada) Inc., 2020 ONCA 337

Seumas Woods, Blake, Cassels & Graydon LLP

Alistair Crawley, Crawley MacKewn Brush LLP

Elizabeth Bowker, Stieber Berlach LLP

Panel 3 - Developments in Insolvency Law - Priority of Construction Trust Claims and Landlord Claims in Bankruptcy

Urbancorp Cumberland 2 GP Inc. (Re), 2020 ONCA 197

7636156 Canada Inc. (Re), 2020 ONCA 681

Ken Kraft, Dentons LLP

Kevin Sherkin, Miller Thomson LLP

D.J. Miller, Thornton Grout Finnigan LLP

In the meantime, please register for the program by visiting the OBA's website.

Wishing everyone an enjoyable weekend.

John Polyzogopoulos
Blaney McMurtry LLP
416.593.2953 Email

Table of Contents

Civil Decisions

Family and Children's Services of Lanark, Leeds and Grenville v. Co-operators General Insurance Company , 2021 ONCA 159

Keywords: Contracts, Interpretation, Insurance, Coverage, Exclusions, Duty to Defend, Duty to Indemnify, Civil Procedure, Applications, Class Proceedings, Child and Family Services Act, R.S.O. 1990, c. C.11, Child, Youth and Family Services Act, 2017, S.O. 2017, c. 14, Class Proceedings Act, 1992, S. O. 1992, c. 6, Rules of Civil Procedure, Rules 14.05(3)(d), 29.01, Fort William Band v. Canada (Attorney General), 76 O.R. (3d) 228 (S.C.), Hanis v. Teaven, 2008 ONCA 678, Progressive Homes Ltd. v. Lombard General Insurance Co. of Canada, 2010 SCC 33, Simpson Wigle Law LLP v. Lawyers' Professional Indemnity Co., 2014 ONCA 492, Nichols v. American Home Assurance Co., [1990] 1 S.C.R. 801, Tedford v. TD Insurance Meloche Monnex, 2012 ONCA 429, Monenco Ltd. v. Commonwealth Insurance Co., 2001 SCC 49, Alie v. Bertrand & Frère Construction Co. (2002), 222 D.L.R. (4th) 687 (Ont. C.A.), Derksen v. 539938 Ontario Ltd., 2001 SCC 72, St. Paul Fire & Marine Insurance Co. v. Durabla Canada Ltd. (1996), 137 D.L.R. (4th) 126 (Ont. C.A.), NonMarine Underwriters, Lloyd's London v. Scalera, 2000 SCC 24, Allstate Insurance Co. of Canada v. Aftab, 2015 ONCA 349, CUMIS General Insurance Co. v. 1319273 Ontario Ltd., 2008 ONCA 249, Zurich Insurance Co. v. 686234 Ontario Ltd. (2002), 62 O.R. (3d) 447 (Ont. C.A.), G & P Procleaners and General Contractors Inc. v. Gore Mutual Insurance Co., 2017 ONCA 298, Brockton (Municipality) v. Frank Cowan Co., 57 O.R. (3d) 447 (Ont. C.A.), Markham (City) v. AIG Insurance Company of Canada, 2020 ONCA 239, 445 D.L.R. (4th) 405, Wal-Mart Canada Corp. v. Intact Insurance Co., 2016 ONSC 4971, Brookfield Johnson Controls Canada LP v. Continental Casualty Company, 2017 ONSC 5978

P.Y. v. Catholic Children's Aid Society of Toronto , 2021 ONCA 164

Keywords: Civil Procedure, Frivolous and Vexatious Claims, Child Protection, Rules of Civil Procedure, Rules 2.1.01, 2.1.01(2), 2.1.01(3), and 2.1.01(3)1, Catholic Children's Aid Society of Toronto v. A.M.Y., 2013 ONCJ 585, CCAS Toronto v. AMY and PY, 2014 ONSC 6526, Catholic Children's Aid Society of Toronto v. A.Y., 2015 ONCA 493, Y. v. The Catholic Children's Aid Society of Toronto, 2018 ONSC 7097, P.Y. v. Catholic Children's Aid Society of Toronto, 2020 ONCA 98, P.Y. v. The Catholic Children's Aid Society of Toronto, 2020 ONSC 1396, P.Y. v. The Catholic Children's Aid Society of Toronto, 2020 ONSC 6660, Simpson v. The Chartered Professional Accountants of Ontario, 2016 ONCA 806

Ross v. Canada Trust Company , 2021 ONCA 161

Keywords: Wills and Estates, Interpretation, Armchair Rule, Presumption of Early Vesting, Civil Procedure, Appeals, Standard of Review, Sattva Capital Corp. v. Creston Moly Corp., 2014 SCC 53, Trezzi v. Trezzi, 2019 ONCA 978, Dice v. Dice, 2012 ONCA 468, R. v. Sheppard, 2002 SCC 26

North Elgin Centre Inc. v. McDonald's Restaurants of Canada Limited , 2021 ONCA 173

Keywords: Municipal Law, Subdivision Control, Real Property, Commercial Leases, Civil Procedure, Appeals, Orders, Enforcement, Contempt, Planning Act, R.S.O. 1990, c. P.13, s. 50(3)(f), Courts of Justice Act, R.S.O. 1990, c. C.43, Rules of Civil Procedure, Rules 1.02(1) & 60.11(1), Carey v. Laiken, 2015 SCC 17, United Nurses of Alberta v. Alberta (Attorney General), [1992] 1 S.C.R. 901, Chiang (Re), 2009 ONCA 3, Bell ExpressVu Limited Partnership v. Corkery, 2009 ONCA 85, Rocca Dickson Andreis Inc. v. Umberto Andreis, 2013 ONSC 5508 (Div. Ct.), Dare Foods (Biscuit Division) Ltd. v. Gill, [1973] 1 O.R. 637 (H.C.)

Qin v. Ontario Securities Commission , 2021 ONCA 165

Keywords: Securities Regulation, Offences, Enforcement, Mareva Injunctions/Asset Freezes, Torts, Malicious Prosecution, Civil Procedure, Striking Pleadings, Frivolous, Vexatious, Abuse of Process, Issue Estoppel, Reasonable or Probable Cause, Serious Issue to be Tried, Securities Act, R.S.O., 1990, c. S.5, Rules of Civil Procedure, Rule 21.01(3)(d), OSC v. Future Solar, 2015 ONSC 2334, Future Solar Developments Inc. et al., 2016 ONSEC 17, Future Solar Developments Inc. et al., 2015 ONSEC 25, Qin v. Ontario Securities Commission, 2020 ONSC 1145, Winter v. Sherman Estate, 2018 ONCA 703, Danyluk v. Ainsworth Technologies Inc., 2001 SCC 44, RJR-MacDonald Inc. v. Canada (Attorney General), [1994] 1 S.C.R. 311, American Cyanamid v. Ethicon Ltd., 1975 A.C. 396, Miazga v. Kvello Estate, [2009] 3 S.C.R. 339

Tsai v. Dugal , 2021 ONCA 170

Keywords: Family Law, Property, Constructive Trust, Civil Procedure, Appeals, Security of Costs, Frivolous, Vexatious, Rules of Civil Procedure, Rule 61.06(1)(a) and (c), Yaiguaje v. Chevron Corporation, 2017 ONCA 827, Perron v. Perron, 2011 ONCA 776, Henderson v. Wright, 2016 ONCA 89, Combined Air Mechanical Services Inc. v. Flesch, 2010 ONCA 633, Foodinvest Limited v. Royal Bank of Canada, 2020 ONCA 387

Campbell v. 1493951 Ontario Inc. , 2021 ONCA 169

Keywords: Contracts, Real Property, Commercial Leases, Illegal Use, Termination, Notice, Waiver, Remedies, Relief from Forfeiture, Cannabis Control Act, 2017, S.O. 2017, c. 26, Sched. 1, Cannabis Licence Act, 2018, S.O. 2018, c. 12, Sched. 2, Saskatchewan River Bungalows Ltd. v. Maritime Life Assurance Co., [1994] 2 S.C.R. 490

CIVIL DECISIONS

Family and Children's Services of Lanark, Leeds and Grenville v. Co-operators General Insurance Company, 2021 ONCA 159

Hoy, Brown and Thorburn JJ.A.

Counsel:

D. Marks, K. Gerry and R. Dowhan for the appellant, Co-operators General Insurance Company

T. Hill and B. Chung for the respondent, Laridae Communications Inc.

D. Boghosian for the respondent, Family and Children's Service of Lanark, Leeds and Grenville

Keywords: Contracts, Interpretation, Insurance, Coverage, Exclusions, Duty to Defend, Duty to Indemnify, Civil Procedure, Applications, Class Proceedings, Child and Family Services Act, R.S.O. 1990, c. C.11, Child, Youth and Family Services Act, 2017, S.O. 2017, c. 14, Class Proceedings Act, 1992, S. O. 1992, c. 6, Rules of Civil Procedure, Rules 14.05(3)(d), 29.01, Fort William Band v. Canada (Attorney General), 76 O.R. (3d) 228 (S.C.), Hanis v. Teaven, 2008 ONCA 678, Progressive Homes Ltd. v. Lombard General Insurance Co. of Canada, 2010 SCC 33, Simpson Wigle Law LLP v. Lawyers' Professional Indemnity Co., 2014 ONCA 492, Nichols v. American Home Assurance Co., [1990] 1 S.C.R. 801, Tedford v. TD Insurance Meloche Monnex, 2012 ONCA 429, Monenco Ltd. v. Commonwealth Insurance Co., 2001 SCC 49, Alie v. Bertrand & Frère Construction Co. (2002), 222 D.L.R. (4th) 687 (Ont. C.A.), Derksen v. 539938 Ontario Ltd., 2001 SCC 72, St. Paul Fire & Marine Insurance Co. v. Durabla Canada Ltd. (1996), 137 D.L.R. (4th) 126 (Ont. C.A.), NonMarine Underwriters, Lloyd's London v. Scalera, 2000 SCC 24, Allstate Insurance Co. of Canada v. Aftab, 2015 ONCA 349, CUMIS General Insurance Co. v. 1319273 Ontario Ltd., 2008 ONCA 249, Zurich Insurance Co. v. 686234 Ontario Ltd. (2002), 62 O.R. (3d) 447 (Ont. C.A.), G & P Procleaners and General Contractors Inc. v. Gore Mutual Insurance Co., 2017 ONCA 298, Brockton (Municipality) v. Frank Cowan Co., 57 O.R. (3d) 447 (Ont. C.A.), Markham (City) v. AIG Insurance Company of Canada, 2020 ONCA 239, 445 D.L.R. (4th) 405, Wal-Mart Canada Corp. v. Intact Insurance Co., 2016 ONSC 4971, Brookfield Johnson Controls Canada LP v. Continental Casualty Company, 2017 ONSC 5978

facts:

A confidential portal on the website of the respondent, Family and Children's Services of Lanark, Leeds and Grenville ("FCS"), was hacked and a confidential report was shared online. A class action was brought against FCS alleging the leaked report contained defamatory material, and that FCS was negligent. FCS then commenced a third-party claim against Laridae Communications Inc. ("Laridae") alleging negligence and breach of contract. FCS had retained Laridae to provide a range of communications and marketing services including website security. Laridae was insured by the...