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Court approved a minor's accident benefits settlement but significantly reduced counsel's contingency fee.
This case concerns the approval of a minor's statutory accident benefits settlement and the determination of legal fees.
The court approved an all-inclusive settlement of $678,400, with a significant portion structured into an annuity for the minor.
However, the court reduced the proposed 25% contingent fee sought by counsel, fixing it at $115,000 plus HST and disbursements, finding the contingent fee unreasonable at the time of the hearing despite the retainer agreement being reasonable when entered.
The decision emphasized the court's duty to ensure the settlement terms are in the best interests of the person under disability.
Minor's $620,000 settlement approved, but 25% contingency fee reduced to $100,000 for unreasonableness.
The plaintiff, a minor who suffered a skull fracture when struck by a reversing vehicle, sought court approval of a $620,000 settlement under Rule 7.08.
The court approved the settlement amount but found the proposed 25% contingency fee of $124,576.15 unreasonable given the low risk of non-recovery and the docketed time.
The court reduced the legal fee to $100,000 and ordered the balance of the proceeds to be paid into court for the minor's benefit.
