The plaintiffs, former federal public servants, sued the Attorney General of Canada (AGC) for negligent misrepresentation after resigning to join a private company, Loba, and transferring their pensions to the Loba Plan, which was later revoked by the CRA.
The trial judge found the AGC liable for failing to disclose known risks about the Loba Plan and apportioned liability 80% to the AGC and 20% to the Loba Parties (third parties).
The AGC appealed.
The Court of Appeal upheld the findings of duty of care, misrepresentation, and causation against the AGC.
However, the Court allowed the appeal in part regarding apportionment, finding the trial judge erred in her fiduciary analysis of the Loba Parties.
The Court adjusted the apportionment of liability to 60% for the AGC and 40% for the Loba Parties.
A separate appeal by one plaintiff regarding the calculation of his damages was dismissed.
