Kingsway appealed an arbitrator's decision ordering it to indemnify Dominion for statutory accident benefits paid following a four-vehicle chain reaction collision.
The arbitrator found that s. 9(3) of the Fault Determination Rules did not apply because the fourth vehicle was stationary, and applied ordinary tort rules to find Kingsway's insured 100% at fault.
The Superior Court allowed the appeal, holding that s. 9(3) applies to the three vehicles in motion regardless of the stationary fourth vehicle.
Following the Court of Appeal's decision in State Farm, s. 9(3) precludes 'leapfrogging' loss transfer claims between vehicles that do not directly collide.
