Robin P. Roddey

The plaintiff sought certification of a class action against Mercedes-Benz entities, alleging that BlueTEC diesel vehicles contained "defeat devices" that turned off emission controls below 10 degrees Celsius, leading to excessive nitrogen oxide emissions.

The action primarily claimed economic loss due to negligent misrepresentation, alongside statutory claims under the Canadian Environmental Protection Act and Competition Act, and common law claims for negligence, unjust enrichment, breach of warranties, and waiver of tort.

The court granted certification for 14 of the 17 proposed common issues, revising three and declining to certify three (negligence, breach of express/implied warranties, and aggregate damages).

The decision clarified the "some basis in fact" test for common issues, emphasizing a one-step approach focused on class-wide commonality, and reiterated that aggregate damages are for the quantum of loss, not proof of liability, requiring liability to be established first.

The defendants moved to stay or dismiss an Ontario action for lack of jurisdiction and on the basis of forum non conveniens.

The dispute concerned whether a letter constituted a binding agreement requiring the transfer of wireless spectrum licences to the plaintiff.

The court held that Ontario had jurisdiction simpliciter because there was a good arguable case that the contract was made in Ontario and that the action concerned licences constituting personal property located in Ontario.

The defendants failed to rebut the presumptive connecting factors or demonstrate that California was clearly the more appropriate forum.

The motion to stay or dismiss was therefore refused.