Alexander Reyes

The defendant insurer moved for summary judgment to dismiss the plaintiff law firm's claim for business interruption coverage.

The law firm was forced to close indefinitely after organized criminals in the tow truck industry targeted its office with arson and gunfire, causing its insurance clients to withdraw all their files out of fear of further attacks.

The insurer argued that the policy only covered business interruption during the time required to physically repair the building.

The court dismissed the insurer's motion and granted a declaration of coverage in favour of the law firm, finding that the extended closure was 'as a result of' the direct physical loss or damage from the insured peril of criminal acts.

The appellant appealed a motion judge's decision to dismiss his action for delay and refuse to restore it to the trial list.

The action, arising from a 2014 motor vehicle accident, was struck from the trial list in 2019 due to a lack of an expert report.

Over a year later, the respondents moved to dismiss for delay.

The appellant provided an expert report and moved to restore the action.

The Court of Appeal upheld the motion judge's discretionary decision, finding that the appellant failed to explain the inordinate delay or demonstrate that the respondents would not suffer non-compensable prejudice.

The appeal was dismissed with costs to the respondents.