The defendant brought a motion for leave to withdraw an admission contained in its statement of defence acknowledging that a taxi driver involved in a collision was its employee.
The court applied the three‑part test governing withdrawal of admissions in pleadings: whether the amendment raises a triable issue, whether the admission was inadvertent, and whether the withdrawal would cause non‑compensable prejudice.
The court accepted affidavit evidence explaining that the admission resulted from inadvertence and that discovery evidence suggested the driver was actually the owner and operator of the vehicle.
The court also found no real prejudice to the plaintiff, rejecting arguments that potential loss of access to higher insurance limits constituted prejudice.
Leave to withdraw the admission was granted and costs were reserved.