Roger Poirier (appellant) sued multiple defendants for fraud and misrepresentation related to a failed business investment.
He settled his claim with one defendant, Jerry Friedberg, but failed to disclose this settlement to the other defendants for six months.
The motion judge stayed the action against the remaining defendants, finding the non-disclosure to be an abuse of process.
Poirier appealed, arguing the motion judge applied an incorrect legal test and made palpable and overriding errors of fact.
The Court of Appeal dismissed the appeal, affirming that immediate disclosure of settlement agreements that fundamentally alter the litigation landscape is mandatory, and failure to do so constitutes an abuse of process warranting a stay of proceedings, regardless of prejudice to the non-settling parties.
