Neutral Citation: 2004 ONFSCDRS 96
FSCO A03-000787
FINANCIAL SERVICES COMMISSION OF ONTARIO
BETWEEN:
IRAJ RASHIDI
Applicant
and
EVAN ISMAELI
Representative of Applicant
WAWANESA MUTUAL INSURANCE COMPANY
Insurer
REASONS FOR DECISION
Before:
William J. Renahan
Heard:
February 24, 2004, at the offices of the Financial Services Commission of Ontario in Toronto.
Appearances:
No one appeared for Mr. Rashidi
Ian D. Kirby for Wawanesa Mutual Insurance Company
Issues:
In a decision dated March 23, 2004, I made the following orders:
The Application for Arbitration is dismissed.
Iraj Rashidi shall pay Wawanesa Mutual Insurance Company $1,500 inclusive of GST.
The issue of whether Evan Ismaeli shall personally pay any part of the expenses awarded against Mr. Rashidi is deferred. Evan Ismaeli shall have 30 days to make written submissions on the issue and Wawanesa shall have 14 days to make any written reply.
Effective October 3, 2003, section 282(11.2) of the Insurance Act, R.S.O. 1990, c.I.8, as amended, was repealed and substituted by the following:
Liability of representative for costs
(11.2) An arbitrator may make an order requiring a person representing an insured person or an insurer for compensation in an arbitration proceeding to personally pay all or part of any expenses awarded against a party if the arbitrator is satisfied that,
(a) in respect of a representative of an insured person, the representative commenced or conducted the proceeding without authority from the insured person or did not advise the insured person that he or she could be liable to pay all or part of the expenses of the proceeding;
(b) in respect of a representative of an insured person, the representative caused expenses to be incurred without reasonable cause by advancing a frivolous or vexatious claim on behalf of the insured person; or
(c) the representative caused expenses to be incurred without reasonable cause or to be wasted by unreasonable delay or other default. 2002, c. 22, s. 127.
Mr. Kirby asked for an order that Mr. Rashidi's representative, Evan Ismaeli, pay Wawanesa $342 for disbursements. He claimed that Mr. Ismaeli requested this amount from Wawanesa as the cost of documents which Wawanesa requested and that Wawanesa paid Mr. Ismaeil $342 but never received the documents.
The Commission mailed a copy of my decision to Mr. Ismaeli. Mr. Ismaeli did not respond to whether he should personally pay any part of the expenses awarded against Mr. Rashidi.
I accept Mr. Kirby's uncontradicted allegation and find that Mr. Ismaeli caused Wawanesa to incur expenses of $342 without reasonable cause and order that Mr. Ismaeli pay this amount to Wawanesa.
June 16, 2004
William J. Renahan
Arbitrator
Date
Neutral Citation: 2004 ONFSCDRS 96
FSCO A03-000787
FINANCIAL SERVICES COMMISSION OF ONTARIO
BETWEEN:
IRAJ RASHIDI
Applicant
and
EVAN ISMAELI
Representative of Applicant
WAWANESA MUTUAL INSURANCE COMPANY
Insurer
ARBITRATION ORDER
Under section 282 of the Insurance Act, R.S.O. 1990, c.I.8, as amended, it is ordered that:
- Evan Ismaeli shall pay $342 to Wawanesa Mutual Insurance Company.
June 16, 2004
William J. Renahan
Arbitrator
Date