Financial Services Commission of Ontario
Commission des services financiers de l’Ontario
Neutral Citation: 2007 ONFSCDRS 60 FSCO A05-002864
BETWEEN:
KANDASAMY KARNATHASAN Applicant
and
NORDIC INSURANCE COMPANY OF CANADA Insurer
DECISION ON A MOTION
Before: David Muir
Heard: March 15, 2007, at the offices of the Financial Services Commission of Ontario in Toronto.
Appearances: Samiya Ahmed, Student-at-Law, for Mr. Karnathasan David Dinner for Nordic Insurance Company of Canada
Issues:
The Applicant, Kandasamy Karnathasan, claims to have been injured in a motor vehicle accident on March 27, 2005. He applied for and received statutory accident benefits from Nordic Insurance Company of Canada ("Nordic"), payable under the Schedule.1 Disputes respecting his entitlement to benefits arose. The parties were unable to resolve their disputes through mediation, and Mr. Karnathasan applied for arbitration at the Financial Services Commission of Ontario under the Insurance Act, R.S.O. 1990, c.I.8, as amended.
This is a Motion brought by Nordic for an Order pursuant to Rule 68.1 of the Dispute Resolution Practice Code (Fourth Edition, Updated — October 2003), dismissing the arbitration because it is frivolous, vexatious or was commenced in bad faith.
Mr. Karnathasan's representative was in attendance but took no position with respect to this matter.
Mr. Karnathasan commenced this application on December 8, 2005. A pre-hearing was scheduled to take place on August 23, 2006 but was adjourned because Mr. Karnathasan was believed to be out of the country. There has been no further contact between Mr. Karnathasan and his counsel since that abortive pre-hearing. A further pre-hearing was scheduled to take place on January 31, 2007. Mr. Karnathasan did not attend.
At the January 31, 2007 prehearing, Nordic requested a hearing to consider its Motion for an Order pursuant to Rule 68.1. Notice of this issue, framed as a Preliminary Issue, was sent to the parties including Mr. Karnathasan, returnable March 5, 2007. On the eve of the hearing, counsel for Mr. Karnathasan requested an adjournment while further efforts were made to locate him. The hearing was adjourned to March 15, 2007.
At the time and place set for the hearing of this matter Mr. Karnathasan was not in attendance. I stood the matter down for 25 minutes. At 10:25 a.m., Mr. Karnathasan was still not in attendance and the matter proceeded in his absence.
I am satisfied that Mr. Karnathasan has had proper Notice of every stage of this proceeding. I am satisfied that his counsel has made reasonable efforts to locate him to no avail. None of the several Notices respecting this arbitration have been returned to the Commission. If Mr. Karnathasan has changed his address he has not informed the Commission or his counsel. I am satisfied that an Order pursuant to Rule 68.1 is appropriate in the circumstances in that it appears that the application for arbitration is frivolous and commenced in bad faith having been, in effect, abandoned by Mr. Karnathasan.
EXPENSES:
Nordic seeks its expenses for time thrown away in dealing with this matter. I find that Nordic is entitled to its reasonable expenses in the requested amount, $500.00.
March 22, 2007
David Muir Arbitrator
Date
Financial Services Commission of Ontario
Commission des services financiers de l’Ontario
Neutral Citation: 2007 ONFSCDRS 60 FSCO A05-002864
BETWEEN:
KANDASAMY KARNATHASAN Applicant
and
NORDIC INSURANCE COMPANY OF CANADA Insurer
ARBITRATION ORDER
Under section 282 of the Insurance Act, R.S.O. 1990, c.I.8, as amended, it is ordered that:
The application for arbitration is dismissed pursuant to Rule 68.1 of the Dispute Resolution Practice Code (Fourth Edition, Updated — October 2003).
Mr. Karnathasan shall pay to Nordic its expenses in the amount of $500.
March 22, 2007
David Muir Arbitrator
Date