Prateek Suman Awasthi

The appellant appealed a decision refusing to certify a class action against a temporary help agency for alleged employee misclassification.

The motion judge had found that the proposed common issues regarding whether the agency was an employer under the Employment Standards Act or at common law lacked sufficient commonality and required individual determinations.

The Divisional Court dismissed the appeal, finding no palpable and overriding error in the motion judge's conclusion that there was no systemic commonality among the putative class members' arrangements.

Leave to appeal the costs award of $333,114.05 was also denied.

The court considered a request by the Ontario Association of Police Service Boards to dismiss the action against it under Rule 2.1.01 of the Rules of Civil Procedure.

The court found that the plaintiffs' statement of claim lacked any factual basis for relief against the Association and that the pleading exhibited hallmarks of vexatious and frivolous litigation.

The court reviewed the applicable legal principles and procedures for summary dismissal under Rule 2.1.01, ultimately dismissing the claims against the Association without costs.

This decision addresses costs following the dismissal of a class action certification motion.

The defendant, T.E.S. Contract Services Inc. (TES), sought substantial or partial indemnity costs.

The plaintiff, Ann Davidson, argued for no costs or significantly reduced costs, asserting the case was a test case, raised novel issues, or concerned public interest.

The court fixed costs on a partial indemnity scale, finding no egregious conduct by the plaintiff.

It rejected the plaintiff's arguments regarding public interest, novel issues, or test case status, and strongly criticized the suggestion that the representative plaintiff might be personally exposed to costs, emphasizing class counsel's duty to indemnify.

The court found TES's requested partial indemnity costs reasonable but deducted amounts related to the plaintiff's successful production motion and the defendant's abandoned motion to strike expert reports.

The plaintiff, Ann Davidson, brought a motion for certification of a proposed class action against T.E.S. Contract Services Inc. (TES), alleging misclassification of workers as independent contractors instead of employees, and seeking benefits under the Employment Standards Act, 2000.

The court dismissed the certification motion, finding no basis in fact for commonality regarding whether a s. 74.3 agreement (temporary help agency assignment) existed between TES and the putative class members, or whether a common law or s. 1(1) employment relationship could be determined on a class-wide basis.

The court concluded that individual inquiries would be required to determine employment status for each class member, as the evidence did not establish systemic commonality.