Following a motor vehicle accident, the injured party settled her tort claim.
The settlement included an agreement that the defendants' insurer would negotiate OHIP's subrogated claim directly.
When the insurer later refused to pay, OHIP sued.
The trial judge found a binding agreement existed and that the insurer was estopped from raising a limitation defence.
The Court of Appeal dismissed the insurer's appeal, finding no palpable error in the trial judge's conclusion that an agreement was reached, and holding that the six-year limitation period did not begin to run until OHIP received notice of the insurer's repudiation of the contract.
