The appellant, representing game farmers, sued the government in negligence after their herd certification status was downgraded for refusing to sign a registration form with broad indemnification clauses.
A previous judicial review found the clauses invalid, but the government did not reinstate the certification.
The Supreme Court of Canada held that while a claim for negligent breach of statutory duty cannot succeed, a claim for negligent failure to implement a judicial decree is an operational act that may ground an action in negligence.
The appeal was allowed in part, permitting the latter claim to proceed.
