Nexen Energy commenced identical actions in Alberta and Ontario against ITP SA for damages arising from a pipeline rupture.
While the Purchase Order specified Ontario as the exclusive dispute resolution forum, ITP SA defended the Alberta action and sought to use the Ontario forum selection clause to have a discrete issue of law (interpretation of liability limits) adjudicated in Ontario via a Rule 21 motion before the Ontario action was stayed.
Nexen Energy moved to stay its own Ontario action.
The Master found "special circumstances" overriding the forum selection clause, preventing ITP SA from "slicing and dicing" the case.
The Master granted Nexen Energy's motion, permanently staying the Ontario action, and directed ITP SA's motion to Alberta, citing judicial economy, efficiency, and consistency, given the active case management in Alberta and the multi-party nature of the dispute.