This appeal concerns the applicable test for determining jurisdiction over absent foreign claimants (AFCs) in a class action involving allegations of conspiracy to fix prices of air freight shipping services for shipments from or to Canada between 2000 and 2006.
The motion judge had rejected the real and substantial connection test and held that jurisdiction could only be established if AFCs were present in Ontario or had consented to the court's jurisdiction.
The motion judge also declined to exercise jurisdiction on the basis of forum non conveniens.
The Court of Appeal allowed the appeal, holding that the real and substantial connection test applies to class actions involving AFCs and that jurisdiction may be established where there is a real and substantial connection between the subject matter and Ontario, common issues exist between representative plaintiffs and AFCs, and procedural safeguards of adequate representation, notice, and opt-out rights are provided.
The court also found that forum non conveniens did not apply as no clearly more appropriate forum existed.