Professor Silberman

Ontario sued foreign and domestic tobacco manufacturers under the Tobacco Damages and Health Care Costs Recovery Act, 2009 to recover health care costs.

Six foreign defendants brought a motion to stay or dismiss the action for lack of jurisdiction, which was dismissed.

The foreign defendants appealed.

The Court of Appeal dismissed the appeal, finding that the statutory claim was analogous to a tort committed in Ontario, establishing a presumptive connecting factor under the Van Breda framework.

The Court also upheld the motion judge's findings that Ontario established a good arguable case and affirmed the costs award.

The Crown brought an action under the Tobacco Damages and Health Care Costs Recovery Act against several domestic and foreign tobacco companies, claiming $50 billion for health care costs related to tobacco disease.

Six foreign defendants brought motions to set aside service ex juris and stay or dismiss the action, arguing the Ontario court lacked jurisdiction simpliciter.

The court dismissed the motions, finding that the Crown had established a good arguable case that the foreign defendants conspired and acted in concert to commit tobacco-related wrongs, establishing a real and substantial connection to Ontario.