The plaintiffs were involved in a motor vehicle accident and initially named the municipality as a defendant in their notice of action.
They subsequently filed a statement of claim and simultaneously filed a notice of discontinuance against the municipality.
After the limitation period expired, the plaintiffs sought to add the municipality back as a defendant, citing the discoverability principle upon learning that a dangerous shoulder drop-off may have contributed to the accident.
The motion judge declared the notice of discontinuance invalid but alternatively allowed the municipality to be added as a defendant.
The Court of Appeal held that the notice of discontinuance was valid, but upheld the motion judge's discretionary decision to add the municipality as a defendant based on the discoverability principle.