Andrea Coates

Optiva Inc. appealed a Superior Court decision that refused to set aside an arbitration award and denied leave to appeal.

The arbitration award found Optiva breached a contract with Tbaytel and awarded damages.

The Court of Appeal addressed whether the arbitrator had jurisdiction to proceed by summary judgment, whether Optiva's challenge to this ruling was time-barred under s. 17(8) of the Arbitration Act, 1991, and whether the arbitrator based his interpretation of a limitation of liability clause on a legal theory not advanced by the parties.

The Court dismissed the appeal, finding the arbitrator had broad procedural powers, the s. 17(8) time limit did not apply to procedural rulings, and no new legal theory was introduced.

Tbaytel, the moving party, sought to strike an affidavit filed by Optiva Inc., the responding party, in connection with Optiva's pending motion for leave to appeal an arbitration award.

The affidavit, from J. Brian Casey, aimed to provide factual information regarding the public importance of issues raised in the leave to appeal motion, specifically concerning the availability of summary judgment in arbitration without consent and the arbitrator's use of case law.

The court partially granted the motion, striking parts of the affidavit that expressed opinions on the legal importance of issues or buttressed attacks on the correctness of prior decisions, while allowing factual descriptions of common arbitration practices to remain.

The defendants brought a motion for an order requiring the plaintiffs to serve a further and better affidavit of documents, specifically seeking financial documents relevant to the plaintiffs' damages claims.

The plaintiffs argued that the defendants were precluded from seeking these documents because they had agreed to a Discovery Plan that excluded them.

The court found that the defendants had explicitly reserved their right to pursue the financial information when agreeing to the Discovery Plan.

The court ordered the plaintiffs to produce their financial statements and tax returns, as they were relevant to the claims for business losses, but declined to order production of other speculative documents at this stage.