Christopher Rhone

The plaintiffs in a class action regarding syndicated mortgage loans moved for approval of the Notices and Notice Protocol for an upcoming certification and settlement approval hearing with certain settling defendants.

The court approved the proposed Notice Protocol, which involves direct notice to putative class members by email or mail via the court-appointed Notice Administrator, finding it to be effective and proportionate.

The moving parties, including Chartwell Retirement Residences, Sienna Senior Living Inc., Extendicare Inc., and Schlegel Villages Inc., brought four motions for leave to appeal the decision of Morgan J. dated March 7, 2024.

The Divisional Court dismissed the motions for leave to appeal without costs.

The appellants, small and mid-size businesses, appealed a class action decision regarding business interruption insurance claims stemming from the COVID-19 pandemic.

They sought coverage for revenue losses, arguing that the presence of SARS-CoV-2 or civil authority orders constituted "physical loss or damage" to their property under their insurance policies.

The Court of Appeal upheld the trial judge's finding that neither the virus's presence nor the civil authority orders met the "physical loss or damage" criteria for business interruption coverage.

The appeal was dismissed, and costs were awarded to the respondents.

The plaintiffs, representing a class of small to medium-sized businesses, sought coverage under their business interruption insurance policies for losses sustained due to the COVID-19 pandemic and related civil authority orders.

The court held a common issues trial to determine whether the presence of the SARS-CoV-2 virus or government lockdown orders could cause 'physical loss or damage to property' within the meaning of the policies.

The court concluded that the virus does not physically alter or damage inanimate surfaces, and that the loss of use of the premises due to government orders does not constitute physical loss or damage.

Consequently, the court answered the certified common issues in the negative, finding no coverage under the business interruption provisions.

The defendants in a certified class action regarding COVID-19 business interruption insurance claims brought a motion seeking joint adjudication and common case management of common questions across approximately 79 overlapping proceedings.

The motion was opposed by several plaintiffs in individual actions who wished to proceed independently.

The court dismissed the motion, affording deference to a prior case management decision that declined to stay the individual actions, and finding that forcing joint adjudication would inappropriately undermine the plaintiffs' right to opt out of the class proceeding and cause undue delay.

The insured, a general contractor, was sued for negligence and breach of contract after water damage caused rot and deterioration in several housing complexes it built.

The insured sought a declaration that its insurer owed a duty to defend under its commercial general liability policies.

The Supreme Court of Canada held that the insurer owed a duty to defend, finding that the pleadings revealed a possibility of coverage.

The Court clarified that 'property damage' is not limited to third-party property and that defective workmanship can constitute an 'accident' if the resulting damage was neither expected nor intended by the insured.

Furthermore, the 'work performed' exclusions did not clearly and unambiguously exclude the claims, particularly given the involvement of subcontractors.