eLaw - Litigation Update │ November 2016 - No. 77
 
 
                                         
                                     
                                     

 

The Law Society of Manitoba
Professional Education and Competence

 
 

     
 

       eLaw Litigation                                                                      November 2016

In This Issue
Adverse Inference of Causation Discretionary, Not Compulsory: SCC
Class Action Judges Can Hold Out-of-Province Hearings: SCC
Appealing Preliminary and Interim Orders Discouraged: MBCA
Other Court of Appeal and QB Decisions
Consultation Report on Improving the Small Claims System: MLRC
Recommended Reading
Continuing Professional Development: LSM
2017 Mid-Winter Conference: MBA

 
     
 

Adverse Inference of Causation Discretionary, Not Compulsory: SCC

In professional liability cases where the defendant’s negligence undermines the plaintiff’s ability to prove causation, trial judges are permitted, not required, to draw an adverse inference of causation, according to a majority of the Supreme Court in Benhaim v. St‑Germain, 2016 SCC 48. The court overturned the Quebec Court of Appeal finding that the trial judge erred in law by failing to draw an adverse inference of causation against the defendant doctors who were negligent in diagnosing the lung cancer that killed the plaintiff’s husband. The court also criticized the Court of Appeal for not giving sufficient deference to the trial judge’s weighing of the statistical and speculative evidence. The majority concluded that the trial judge made no palpable and overriding error in her causation analysis and restored the trial finding that, while the physicians were negligent, the plaintiff had failed to establish causation on a balance of probabilities.
 
 

Class Action Judges Can Hold Out-of-Province Hearings: SCC

Superior court judges who are implementing a pan-national class action settlement have the discretionary statutory or inherent jurisdiction to sit outside their home provinces to hear and decide a motion relating to it, according to the Supreme Court of Canada in Endean v. British Columbia, 2016 SCC 42, subject to any contrary common law, constitutional, or statutory principles, and “provided that the judge will not have to resort to the court’s coercive powers in order to convene or conduct the hearing and the hearing is not contrary to the law of the place in which it will be held.” (para. 58) The court also found, contrary to the views of the BC and Ontario appellate courts, that a video link between the out-of-province courtroom where the hearing takes place and a courtroom in the judge’s home province is not a condition for a judge to be able to sit outside his or her home province. Neither is it necessarily required by the open court principle. (para. 63)
The court also provides guidance on how the discretion is to be reasonably exercised at paras. 71-76.
These articles comment on the decision:

Cutting Ties: Supreme Court Of Canada Lays Foundation For Judges To Roam When Managing National Class Actions – Canadian Class Actions Monitor

Taking the Show on the Road: Class Action Judges Can Sit Outside their Province - Osler

On The Road: SCC Allows Class Action Judges To Hold Extraprovincial Hearings In Certain Circumstances - Blakes

Endean v. British Columbia: an opening (but not a floodgate) for national class proceedings - BLG

 
 

Appealing Preliminary and Interim Orders Discouraged: MBCA

“Generally speaking, except in exceptional circumstances, appeals of procedural or evidentiary rulings made during the course of civil proceedings should be addressed in the appeal from the final determination and should not be undertaken on a piecemeal basis by way of interlocutory appeals,” according to the Court of Appeal in Pimicikamak et al v Manitoba et al, 2016 MBCA 106 (para.11). The court declined to order an extension of time to allow the applicants to file a second notice of appeal concerning a preliminary decision to strike 11 affidavits from the evidentiary record. While persuaded that there was an arguable ground of appeal, the court found that a second notice of appeal was simply not necessary, since the preliminary decision was subsumed in the final decision and forms part of the pending appeal.

 
 

Other Court of Appeal and QB Decisions

Rice v D’Arcy & Deacon LLP et al, 2016 MBCA 104 - the court dismissed a former partner’s appeal of a stay of his action against his former law firm and partners seeking indemnification for his legal costs in defending a third-party CRA assessment against him and for any ultimate penalty payable by him arising from the assessment. The plaintiff was asking the court to determine his right to indemnity prior to conclusion of the CRA claim. The court agreed with the motion judge’s decision that the law firm’s defence was not frivolous or vexatious, that they would suffer irreparable harm if the stay wasn’t granted (in that the plaintiff’s health and the way his financial affairs were structured might impact their ability to recover costs from him), and that the balance of convenience weighed in favour of granting the stay.

Green v Tram et al, 2016 MBCA 99 - the court dismissed the plaintiff’s appeal of the summary judgment dismissing his conspiracy, breach of contract, and breach of duty of care claims against the University of Winnipeg and staff respecting a “career ending” termination of his teaching practicum. The appeal court declined to weigh in on the thorny issue of when a superior court can and should adjudicate a dispute arising from an academic setting, preferring instead to decide based on the principles of summary judgment. It agreed with the motion judge’s finding that the plaintiff had not established a genuine issue for trial with respect to the conspiracy to injure claim. The court also rejected the plaintiff’s assertion that the University’s failure to remediate his practicum difficulties in accordance with the procedure set out in the school handbook was an actionable breach of contract.

Thermo Applicators Inc v CIR Mechanical Installations Ltd., 2016 MBCA 94 – the appeal court upheld the motion judge’s decision to set aside a default judgment signed by the registrar. The court agreed with the motion judge’s finding that the claim was one solely of breach of trust and was not a debt or liquidated demand in money as required by Rule 19.04(1)(a). It also noted the broad discretion judges have to set aside or vary default judgments and the highly deferential standard of review pertaining to such decisions.

Ownership and possession of a dog was the subject of a summary judgment ruling in McIntosh v. Daoust, 2016 MBQB 194. The court ordered the defendant to return to the plaintiff’s possession a dog who, the defendant argued, had become part of her family when the parties lived together. The court found that, while a domesticated dog is a living creature, it is nevertheless personal property under our law and, in this case, was property owned solely by the plaintiff prior to the start of parties’ relationship. The court declined to order some form of shared custody of the dog and found that the Rules did not allow for compensation of the defendant’s expenses in caring for it pending trial, as she was not the moving party.

Winnipeg Airports Authority Inc. v. Allianz Global Risks US Insurance Company, 2016 MBQB 185 – the court dismissed the WAA’s motion to add an initially unnamed subscribing insurer as a defendant after expiry of the limitation period. The court found at para. 57, that “where an amendment is sought in a situation where the limitation date has expired, the moving party must demonstrate both an absence of prejudice and special circumstances. An absence of prejudice is not special circumstances. Insofar as the requirement for “special circumstances” imposes a rigour and difficult burden for a moving party, it need be appreciated that it is a justifiable rigour and burden connected to broader systemic and policy considerations.” In this case, given the settled law on the several liability of insurers of subscription policies, the court found that “WAA made either an informed decision to not sue Continental, or alternatively, failed to do so by inadvertence,” neither of which constituted “special circumstances.”

Ginew Housing Authority Inc. v. Zenke Investment Ltd. et al., 2016 MBQB 199 – the court granted the defendant’s motion for summary judgment dismissing the plaintiff’s claim seeking damages for the unconscionable sale of multiple housing units at a price considerably less than their fair market value or, alternatively, to void the contract. While there was evidence that the price paid was less than would have been paid had each property sold individually, it was not grossly unfair, said the court, and there was insufficient evidence that the plaintiff was vulnerable or that there was an overwhelming imbalance of bargaining power.

 
 

Consultation Report on Improving the Small Claims System: MLRC

The Manitoba Law Reform Commission is seeking input on its recently released Consultation Report on Improving the Small Claims System in Manitoba. Provisional recommendations include: increasing the monetary and general damages limits and allowing adjustments by regulation; and adding wrongful dismissal claims to the list of excluded proceedings under The Court of Queen’s Bench Small Claims Practices Act. The report is part of the Commission’s project on Access to Courts and Court Processes. Feedback can be provided until December 5, 2016 by completing an online survey or by submitting comments via email, fax or regular mail.

 
 

Recommended Reading

Expert Witnesses: The Who, What, When And How Of Retaining Experts And Making Them Effective For You (HSH LLP) and Finding and Effectively Using an Expert Witness (Slaw) – these articles offer practical tips on finding and using expert witnesses.

A Look at How One Firm Is Trying Alternative Fee Arrangements for Litigation – efficiency and agility are two of the benefits of embracing alternative fee arrangements according to the managing partner cited in this article.

The Challenges of Limitations in Sexual Abuse Claims - this Miller Thomson article examines the challenges for both insureds and insurers in the liberalization or elimination of limitation periods in cases of sexual abuse.

Embracing the digital trial – this Lawyers Weekly article discusses the technology learning curve and the benefits and challenges of e-trials.

Demystifying the Federal Government's Assisted Dying Legislation and the New Lawsuit Challenging its Constitutional Validity – this McMillan bulletin explains how the new assisted dying legislation works and how it is being challenged in Lamb v Canada.

Dealing with Forgetful, Hostile, and Adverse Witnesses - this CLE BC Practice Points paper describes the tools examiners-in-chief can use when witnesses become forgetful or hostile.

J.J. v. C.C.: Court of Appeal Finds Garage and Car Dealership Owed Duty of Care to Minor who Stole Vehicle From Premises – this BLG article is critical of the proximity analysis in a recent Ontario Court of Appeal decision, in which a garage and car dealership was found to owe a duty of care to a minor who was injured after participating in the theft of a vehicle from the dealership's premises.

 
 

Continuing Professional Development: LSM

Plain Language Communication – Learn to communicate more effectively using plain language at this lunch program to be held November 23, 2016 at the Law Society classroom. Registration discounts apply to students and teleconference participants.

NEW Language Rights Rule – This program will examine ethical and professional obligations under the new Code of Professional Conduct rule on language rights and offer practical suggestions for both solicitors and litigators to meet those requirements. It will be held at the Law Society classroom on November 24, 2016.

You are Not Alone: The Lawyer’s Guide to Dealing with Anxiety – Learn how to recognize and manage anxiety at this highly recommended program developed specifically for Manitoba lawyers by the Anxiety Disorders Association of Manitoba. Take advantage of our reduced rate and register to attend on November 30, 2016, from 12 noon to 1:30 pm. The November 29 program date is now sold out.

 
 

2017 Mid-Winter Conference: MBA

The MBA’s 2017 Mid-Winter Conference will take place January 19-21, 2017 at the Fairmont Hotel. Continuing professional development sessions of interest to civil litigators include: Civil Litigation Update; Appearing Before Professional Standard/Self Governing Bodies; Access to the Courts and Courts Process; Future of Legal Research in Manitoba; and Communicating With Confidence.

 
 
 
 
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