An out-of-province insurer's inter-jurisdictional undertaking precludes it from denying coverage based on defences unavailable under Ontario law.
The court determined questions of law in a special case arising from a motor vehicle accident.
The primary issue was whether Dmytro Lavrov's vehicle was insured by Manitoba Public Insurance (MPI) at the time of the accident, considering MPI's inter-jurisdictional undertaking and notice requirements for policy suspension.
The court found that MPI was precluded from denying coverage based on Dmytro Lavrov's failure to register his vehicle in Ontario and MPI's failure to provide proper notice of policy suspension under Manitoba law, or equivalent Ontario law.
The third-party claim for contribution and indemnity was not conclusively statute-barred, but the limitation defence otherwise remained outstanding for future determination.
SCJSuperior Court of JusticeJul 26, 2018