The plaintiff commenced an action seeking damages arising from the rescission of a Dealer Agreement, which it alleged was a franchise agreement under the Arthur Wishart Act.
The defendants brought a cross-motion to stay the action, relying on a mandatory arbitration clause in the agreement.
The plaintiff argued the arbitration clause conflicted with an exclusive jurisdiction clause and that the summary judgment exception under s. 7(2) of the Arbitration Act applied.
The court found the arbitration clause applied and that the plaintiff failed to meet the heavy burden of showing this was a clear case for summary judgment.
The action was stayed pending the arbitrator's determination of jurisdiction.