Alain Létourneau

The appellant insurer denied coverage to a corporate policyholder that suffered losses arising from a phishing scheme in which funds were fraudulently transferred from the policyholder's bank account, which included a line of credit.

The insurer argued that the transferred funds belonged to the bank rather than to the policyholder, as the funds came entirely from the line of credit.

The Quebec Court of Appeal held that the loss was covered by the insurance policy because the policyholder was the owner of the transferred funds.

The Supreme Court of Canada unanimously affirmed the Court of Appeal's decision, dismissing the appeal.

The Court further clarified that the result would not have differed even had the policyholder's account been in positive balance.

The respondent's husband died when a bomb he was attempting to plant exploded.

The respondent claimed the $50,000 life insurance indemnity as the designated beneficiary.

The insurer refused to pay, arguing that the insured's death during the commission of a crime triggered a public order exception preventing recovery.

The Supreme Court of Canada held that the insured's act was not an 'intentional fault' because he did not intend to cause his own death.

Furthermore, while the public order principle that 'no one may profit from their own crime' exists in Quebec civil law, it cannot be set up against an innocent third-party beneficiary.

The appeal was dismissed, and the respondent was entitled to the insurance proceeds.

The appellant insurer paid the maximum amount of its policy ($35,000) plus legal interest and costs following a judgment against its insured for a motor vehicle accident.

The insurer refused to pay the additional indemnity awarded under the second paragraph of article 1056c of the Civil Code, arguing its contract only required payment of 'interest'.

The respondent brought a garnishment proceeding against the insurer.

The Supreme Court of Canada dismissed the insurer's appeal, holding that the additional indemnity under article 1056c is of the same nature as the interest mentioned in the first paragraph (damages for delay) and is therefore included in the interest the insurer undertook to pay under the policy.