B. Glaspell

In a medical malpractice jury trial, the court determined whether long‑term disability (LTD) and Canada Pension Plan (CPP) disability benefits should be deducted from damages for past and future income loss.

The plaintiff suffered a stroke after being discharged from hospital and claimed permanent inability to work.

The court held that CPP disability benefits are not deductible from income loss awards.

However, applying the Supreme Court of Canada’s guidance in IBM Canada Limited v. Waterman, the court concluded that the plaintiff’s employer‑funded LTD benefits functioned as indemnity for wage loss and should be deducted from any jury award to avoid double recovery.

The jury was therefore instructed to deduct LTD payments from both past and future wage loss damages.

This decision addresses costs following earlier rulings in related applications concerning a commercial lease dispute.

The court found that the responding party had taken an erroneous legal position regarding a mediated settlement and attempted to re‑litigate claims that had already been released.

The conduct led to withheld rent payments and triggered the opposing party’s applications to secure rent payment.

Given the unreasonable litigation position and unsupported allegations of fraud-like misconduct, the court held that costs on a substantial indemnity scale were appropriate.

Costs of $130,000 inclusive were awarded to the successful party.

The landlord and tenant under a commercial lease both commenced applications regarding alleged defaults and rent calculations.

The landlord brought a motion to dismiss the tenant's application, arguing that the claims were barred by a prior settlement and mutual release executed in September 2013.

The court applied an objective approach to contractual interpretation and the doctrine of res judicata, finding that the release barred any claims existing prior to September 30, 2013.

However, the court held that the release did not bar the tenant's right to a rent reconciliation for the 2013 calendar year or ongoing rights under the lease.

The court ordered the remaining issues regarding square footage and rent quantum to proceed to trial as an action.