The Court of Appeal upheld an order enforcing a U.S. Letter Rogatory compelling testimony and document production.
The appellants, Rouzbeh Behrouz and Majestic Food Service Inc., appealed an order giving effect to a Letter Rogatory from a U.S. District Court, compelling testimony and document production for a U.S. proceeding alleging violations of Iran-trade embargo laws.
The appellants argued the application judge erred by admitting inadmissible hearsay and failing to properly apply the Friction factors.
The Court of Appeal dismissed the appeal, finding no reversible error.
The court affirmed the application judge's reliance on evidence for determining relevance and necessity, and his proper application of the Friction factors and balancing of Canadian sovereignty with the enforcement request.
The court also agreed that the evidence sought was not otherwise obtainable, deferring to the U.S. court's conclusion and noting that Canadian residents are not compellable witnesses in U.S. proceedings for testimony or document production.
Skymark Properties Corporation, Inc. v. 63263101 Canada Inc. (First Line Canadian Investment Group), 2023 ONCA 861