Licence Appeal Tribunal File Number: 15449/MVIA
Appeal under section 50.2 of the Highway Traffic Act, R.S.O. 1990, c. H.8, from an impoundment of a motor vehicle under section 55.1 of the Act
Between:
2423893 Ontario Inc. o/a Torq Car Rental
Appellant
and
Registrar of Motor Vehicles
Respondent
DECISION
VICE-CHAIR: Jeffery Campbell
APPEARANCES:
For the Appellant: Mark Peralta, Representative
For the Respondent: Sadia Ashraf, Representative
HEARD: December 5, 2023
OVERVIEW
12423893 Ontario Inc. o/a Torq Car Rental (the "appellant") appeals the impoundment of its 2023 Toyota Corolla (the "vehicle") on November 23, 2023 under section 55.1 of the Highway Traffic Act (the "Act"). The vehicle was being driven by Neale Sowande (the "driver"), who was driving while his licence was under suspension due to a criminal conviction.
ISSUES
1The issue to be determined is:
Will the impoundment result in exceptional hardship as that term is defined in the Act and O. Reg. 631/98 (the "Regulation")?
RESULT
3For the reasons set out below, I confirm the impoundment of the vehicle.
ANALYSIS
The impoundment will not result in exceptional hardship as that term is defined in the Act and the Regulation
4Section 10 of the Regulation sets out the criteria and factors that I must consider in determining whether exceptional hardship will result from an impoundment. To establish exceptional hardship, the first requirement set out in s. 10(1) of the Regulation is that there is no alternative to the impounded vehicle, with s. 10(4) of the Regulation requiring the owner to demonstrate the lack of an alternative to the impounded vehicle. If I find that there is an alternative to the impounded vehicle, then the appeal will fail and I need not consider any other requirements of the test for exceptional hardship.
5If it is found there is no alternative to the vehicle, the Tribunal must consider, in accordance with section 10 of the Regulation, whether the impoundment will result in a threat to the health or safety of any person ordinarily transported by the vehicle or that there would be an immediate, significant and long-lasting financial or economic loss to any person ordinarily transported by the vehicle.
6The agent for the Registrar of Motor Vehicles (the "respondent") presented evidence that the vehicle was stopped while being driven by the driver whose licence was suspended due to a Criminal Code conviction. I am therefore satisfied that the vehicle was validly impounded.
7The agent for the appellant testified that the impoundment of the vehicle will result in extensive losses for its business. That loss consists not only of the towing and impound fees, but also the loss of rental income from the vehicle.
8The agent for the appellant testified that the appellant has approximately 150 vehicles in its rental fleets.
9The respondent submitted the RIN Summary of the appellant which shows that the appellant owns 14 plated vehicles and has 144 more plated vehicles which are leased.
10Upon questioning, the agent for the appellant testified that, while the immediate financial consequence of the impoundment of the vehicle is challenging, it would not cause a lasting financial impact on its business.
11The respondent submitted that, as the appellant did not utilize the vehicle for obtaining medication, groceries and necessities, and as the appellant has the use of 143 other vehicles, the impoundment of the vehicle will not result in exceptional hardship.
12I concur. The appellant has 143 alternative vehicles to the impounded vehicle and therefore does not meet their onus for the establishing the impounded vehicle will result in exceptional hardship.
CONCLUSION
13In summary, I find that there are reasonable alternatives to the impounded vehicle. In the case that I found otherwise, the impoundment would not result in an immediate, significant and lasting financial loss to the appellant.
I ORDER AS FOLLOWS:
14On the basis of the evidence presented at the hearing, and pursuant to subsection 50.2(5) of the Act, I confirm the impoundment of the appellant's vehicle.
LICENCE APPEAL TRIBUNAL
Jeffery Campbell, Vice-Chair
Released: December 6, 2023

