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Summary judgment Motion dismissed
The court dismissed Smitten Baby Products Inc.'s action against FirstOnSite Restoration Limited (FOS), holding that FOS, as an insurance investigator retained by the insurer, did not owe a duty of care to the insured, Smitten Baby.
The decision reviews the requirements for establishing a duty of care in cases of pure economic loss, finding that Smitten Baby failed to plead facts establishing a proximate relationship or reasonable reliance.
The court also found that the statement of claim did not adequately plead causation.
Even if a prima facie duty of care could be established, policy considerations would negate it.
The motion for partial summary judgment was dismissed as moot.
