The appellant, Ontario, appealed a case management judge's order that directed multiple motions, including motions to strike, to proceed concurrently with the respondents' motion for leave to pursue a bad faith claim against the Crown.
Ontario argued that section 17(2) of the Crown Liability and Proceedings Act, 2019 imposes an automatic stay on the entire proceeding until leave is granted.
The Divisional Court agreed, holding that the statutory stay applies to all claims in the proceeding, not just those against the Crown, and that the court's inherent jurisdiction cannot override this statutory mandate.
The appeal was granted, and all motions other than the leave motion were stayed.