Peter R. Jervis

In this class action damages trial arising from negligent facilitation of frequent trading in retail mutual funds, the court held that dilution caused by time zone arbitrage should be quantified using the Next Day NAV method rather than the profits method.

The court rejected the argument that prior OSC settlements conclusively compensated investors, found that objective trading characteristics and circumstantial evidence were sufficient to identify time zone arbitrage, and declined to require direct evidence of each trader’s subjective motivation.

Additional timer accounts were included for one defendant outright and for the other subject to specified filters, and the class definition was amended accordingly to exclude those market timers from recovery.

The court awarded principal damages of $60.48 million against one remaining defendant, plus further amounts for qualifying additional accounts, and $37,900,659.63 against the other, with simple prejudgment interest at 2.8% from commencement of the action.

The defendant in a wrongful dismissal action brought a refusals motion seeking production of the plaintiff's 2019 income tax return, unredacted cell phone records, and leave for further oral discovery.

The court ordered production of the tax return, finding it relevant to the plaintiff's pleading of inducement.

The court also ordered production of the unredacted cell phone records, holding that the redacted information was not highly sensitive and was potentially relevant to the defendant's after-acquired cause allegations.

Finally, the court granted the defendant an additional 90 minutes of oral discovery to ask follow-up questions arising from undertakings and improper refusals.

The plaintiffs sought up to $50 million for alleged negligent misrepresentations made by Ministry officials during the regulatory review of a proposed wind energy project requiring a Renewable Energy Approval.

The court held that the Ministry representatives owed a duty of care to the plaintiffs given their sustained, proponent-facing interactions and knowledge of the economic consequences tied to the feed-in-tariff deadline.

However, the court found that none of the four alleged misrepresentations was actionable: some statements were attributable only to government press releases or regulatory materials, while others were factually and legally correct, including statements about the six-month service standard, merits-based review, and the absence of any Indigenous veto.

The court also rejected preliminary defences based on pleading sufficiency, issue estoppel, abuse of process, and a prior release.

The action was dismissed.

The plaintiffs brought a motion for certification of a class proceeding against Barrick Gold Corporation and its officers/directors for alleged misrepresentations regarding a mining project in South America.

The court certified the secondary market claims under the Securities Act and the common law negligent misrepresentation claims, but amended the class definitions and common issues to reflect prior leave decisions.

The court declined to certify the primary market claims, finding a class proceeding was not the preferable procedure for a class of two institutional investors.

The court also declined to certify common issues for aggregate damages due to a lack of expert methodology.

The plaintiffs were awarded $2.75 million in costs for the prior leave motions.

Two class action proceedings—one against TELUS Communications Company and related entities, and one against Bell Mobility Inc.—were brought by plaintiffs alleging that the defendants engaged in similar practices of rounding up seconds to minutes on cell phone bills.

The defendants moved to consolidate the two actions for trial or summary judgment.

The court granted the motion to hear the two summary judgment motions consecutively in a single three-week block of hearing time, finding that the common issues were identical and that separate proceedings would create an unnecessary multiplicity of litigation and risk inconsistent findings.

However, the court determined that the case management judge would not preside over the summary judgment motions, as the principles underlying Rules 37.15(1) and 77.06(2)—which prohibit a case management judge from presiding at trial without consent—apply equally to summary judgment motions.

On January 8, 2020, Ukraine International Airlines flight PS752 was shot down by Iranian air defence missiles shortly after takeoff from Tehran, killing all 176 persons aboard.

The trial judge found that UIA breached the standard of care by failing to conduct a proper security risk assessment in accordance with ICAO 10084 (Risk Assessment Manual for Civil Aircraft Operations Over or Near Conflict Zones).

Specifically, UIA failed to access necessary and available information, failed to conduct a hazard identification and safety assessment, and failed to communicate with the flight commander before departure.

As a result, UIA's liability under the Montreal Convention was unlimited rather than capped at approximately $235,000 per passenger.

The appellate court dismissed UIA's appeal, finding no palpable and overriding error in the trial judge's findings of fact or mixed fact and law.

This costs endorsement follows the Court of Appeal for Ontario's decision to allow the respondent’s motion to quash the appeal.

The court reviewed written submissions on costs and ordered the appellants to pay the respondent $8,088.54 in partial indemnity costs.

The appellants sought leave to appeal a Superior Court decision that dismissed their motion for leave to appeal an arbitrator's award.

The respondent moved to quash the appellants' motion, arguing that no appeal lies from a refusal to grant leave to appeal an arbitral award when decided on the merits.

The Court of Appeal agreed, finding that the application judge did not mistakenly decline jurisdiction but rather determined the leave application on its merits.

Consequently, the Court of Appeal allowed the respondent's motion and quashed the appellants' motion for leave to appeal.

This costs endorsement addresses the Plaintiff's entitlement to costs following an unsuccessful motion by the Defendants to amend the certification of a class action.

The court awards the Plaintiff $150,000 in costs, finding the Defendants' objections unpersuasive, particularly in the absence of their own Bill of Costs for comparison.

The court commends Plaintiff's counsel, especially Ms. Nayerahmadi, for effective advocacy.

The court dismissed TELUS’s motion to amend the certification order in a class action regarding alleged systematic overbilling of mobile phone customers.

TELUS sought to decertify aggregate damages as a common issue and to require individual inquiries into class membership, arguing that business and consumer customers could not be reliably distinguished.

The court found that TELUS’s arguments and evidence were not new and had already been addressed at certification.

The court reaffirmed that TELUS’s internal records and account types provide a sufficiently reliable basis for distinguishing between business and consumer customers, and that any residual issues can be managed administratively after the common issues trial.

The Court of Appeal for Ontario dismissed Shantanu Shirodkar’s appeal seeking to certify a class action against Coinbase Global, Inc. and its subsidiaries for alleged violations of securities laws.

The court upheld the motion judge’s findings that Ontario courts lacked jurisdiction over the non-Canadian Coinbase entities and that Ireland was the preferable forum for the claims, staying the action against Coinbase Canada as well.

The decision addresses the interpretation of forum selection clauses, the application of the “real and substantial connection” test, and the doctrine of forum non conveniens in the context of cross-border crypto-asset trading.

The court approved a $30 million settlement in a class action brought by shareholders of Aphria Inc. against the company and two of its officers, alleging misrepresentations in public disclosures about major business acquisitions.

The settlement was reached on the eve of trial after extensive discovery and negotiation, with the court finding the terms fair and reasonable given the risks of trial and potential insolvency proceedings.

The court also approved class counsel fees, disbursements, a levy to the Class Proceedings Fund, and an honorarium for the representative plaintiff.

This decision resolves a carriage motion between three proposed class actions seeking damages for investors in The Toronto-Dominion Bank, arising from alleged misrepresentations and failures to disclose anti-money laundering (AML) deficiencies.

The court concludes that the Parkin action is best suited to advance the class members’ claims efficiently and cost-effectively, considering the statutory criteria under the Class Proceedings Act, 1992.

The decision addresses the impact of late registration of a class proceeding, the legal framework for carriage motions, the comparative strengths and weaknesses of each action, and issues of funding and counsel experience.

The court approved a Notice Plan for a proposed settlement in a certified class action between Vecchio Longo Consulting Services Inc. and Aphria Inc. et al.

The Notice Plan, developed by class counsel and to be administered by RicePoint Administration Inc., was found to be fair, reasonable, and effective in providing adequate notice to class members regarding the settlement approval hearing and related matters.

The court confirmed that the plan met the requirements of the Class Proceedings Act, 1992, and ordered that the Notice Plan proceed as proposed.

The applicants, Steven Bulut and 1091369 Ontario Inc., sought leave to appeal an arbitral award granting Marko N. Bulut a 50% constructive trust interest in real property.

The court declined to grant leave, finding no error of law in the arbitrator’s application of the law of constructive trust, unjust enrichment, limitation periods, or issue estoppel/abuse of process.

The court also declined to recognize the award under s. 50 of the Arbitration Act at this time, as no application for such relief was before the court and certain matters remained outstanding before the arbitrator.

The plaintiffs brought actions against Ukraine International Airlines (UIA) under the Montreal Convention following the shoot-down of Flight PS752 by Iranian military surface-to-air missiles shortly after takeoff from Tehran.

UIA admitted the shoot-down was an 'accident' under the Convention, making it strictly liable, but sought to limit its liability by proving it was not negligent in allowing the flight to depart.

The Superior Court of Justice found that UIA failed to meet the standard of care for a reasonable airline operating in or near a conflict zone, as it did not conduct a proper security threat risk assessment or any safety risk assessment, and failed to gather available intelligence or brief the flight commander.

The court held that UIA failed to prove its negligence did not cause the passengers' deaths or that the harm was too remote, resulting in unlimited liability for the airline.

The defendants, Coinbase Global, Inc., Coinbase, Inc., Coinbase Europe Limited, and Coinbase Canada Inc., brought a motion to dismiss a putative class action for want of jurisdiction and, alternatively, to permanently stay the action on the basis of forum non conveniens.

The plaintiff alleged that the defendants violated Ontario securities legislation by distributing crypto assets without complying with prospectus requirements.

The court found presence-based jurisdiction only over Coinbase Canada Inc. due to its business activities in Ontario.

However, the court found no presence-based, consent-based, or assumed jurisdiction over Coinbase Europe, Coinbase Inc., or Coinbase Global.

Consequently, the action against Coinbase Europe, Coinbase Inc., and Coinbase Global was dismissed.

The court then considered forum non conveniens for Coinbase Canada Inc., concluding that Ireland was a clearly more appropriate forum given that the plaintiff's claims arose from transactions with Coinbase Europe, which was domiciled in Ireland, and the lack of a class action framework in Ireland was not a decisive juridical disadvantage.

The action against Coinbase Canada Inc. was permanently stayed.

The appellants, proposed representative plaintiffs in a class action, appealed a motion judge's decision regarding leave to pursue claims against Barrick Gold Corporation for alleged misrepresentations under the Ontario Securities Act.

The appeal concerned the denial of leave for certain misrepresentation allegations related to Barrick's capital expenditure budget and production schedule, and the identification of public correction dates.

The Court of Appeal dismissed the appeal, affirming the motion judge's finding that there was no reasonable possibility of success for the additional misrepresentation claims and that the earlier public disclosure fully corrected the alleged misrepresentations, thereby limiting the class period.

The plaintiff in a securities class action brought a refusals motion seeking production of a Special Committee report, three due diligence legal opinions, and answers to questions about missing marijuana inventory.

The court dismissed the motion, finding that the Special Committee report and the legal opinions were protected by solicitor-client and litigation privilege, and that the privilege had not been waived.

The court also held that the questions regarding the missing marijuana were irrelevant and disproportionate.

The Plaintiffs, investors in a cancelled wind turbine project, brought a motion for further production and discovery against the Defendant, His Majesty the King in Right of Ontario.

The Plaintiffs alleged that the government acted arbitrarily and in bad faith by directing the Ministry of Environment (MOE) to refuse a Renewable Energy Approval (REA) for their project for political purposes.

The court noted the extensive discovery already undertaken, including voluminous document production and examinations.

Despite the Plaintiffs' suspicions of political interference, the court found no documentary or testimonial evidence to support these claims.

The motion was dismissed, with costs in the cause, as the court determined that the discovery process had yielded all available information.