Meighan Leon

The plaintiffs sought partial summary judgment declaring that no binding contract existed for a nationwide roll‑out of a stored value “Tim Card” payment system and that they had not misused confidential information obtained during a pilot program.

The defendants alleged that a binding agreement had been reached or, alternatively, that the plaintiffs breached confidentiality obligations and a duty to negotiate in good faith after abandoning negotiations and conducting an RFP process.

The court held that the evidence showed only an agreement in principle and ongoing negotiations, not a finalized contract, as material terms remained unresolved and the parties’ conduct did not demonstrate a binding commitment.

The court also found no misuse of confidential information, concluding that the operational data from the pilot project belonged to the restaurant chain and did not constitute protectable confidential information of the technology vendor.

However, genuine issues remained regarding whether the plaintiffs breached a contractual obligation to negotiate in good faith.

Following certification of a national class proceeding and dismissal of defendants’ summary judgment motions, the court determined costs arising from the certification and related motions.

The court applied Rule 57 of the Rules of Civil Procedure and principles governing costs in class proceedings, including fairness, reasonable expectations of the parties, and the access to justice objectives of the Class Proceedings Act, 1992.

The litigation involved extensive evidence, numerous defendants, and complex factual and legal issues affecting approximately 10,000 class members with alleged losses approaching $150 million.

The court rejected requests for substantial indemnity costs and declined to refer costs to formal assessment, instead fixing costs directly.

Significant partial indemnity costs and disbursements were awarded to the plaintiff, apportioned among the defendant groups.

The plaintiff brought a motion to certify a class action against the promoters, lawyers, and other entities involved in a charitable donation tax shelter scheme called the Donations for Canada Gift Program.

The Canada Revenue Agency had disallowed the charitable tax credits claimed by the participants, finding they lacked donative intent.

The defendants brought motions for summary judgment.

The court certified the action as a class proceeding, finding that the pleadings disclosed causes of action in negligence, negligent misrepresentation, fraud, conspiracy, breach of contract, and unjust enrichment.

The court dismissed the defendants' motions for summary judgment, concluding that a trial was required to fully appreciate the evidence and resolve the complex factual issues, including whether the contracts were vitiated by fraud.