Court ordered $385,000 settlement funds released to insurer, finding appeal outcome satisfied settlement conditions.
The applicant, Kossay El-Khodr, sought the court's interpretation of minutes of settlement signed with Northbridge Commercial Insurance Company and Royal & Sun Alliance Insurance Company of Canada.
The dispute centered on the distribution of $385,000 in settlement funds, contingent on the outcome of a Court of Appeal decision regarding the assignment of statutory accident benefits.
El-Khodr argued that the Court of Appeal's decision, which granted Northbridge an assignment of specific future medical and rehabilitation benefits but not all, did not fully trigger the conditions for payment to Northbridge as per the minutes of settlement, or that the contract was frustrated.
The court applied principles of contractual interpretation, finding that Northbridge was wholly successful on the appeal as it obtained the specific assignments it had sought.
The court dismissed El-Khodr's arguments, concluding that the conditions in the minutes of settlement were met, and ordered the release of the $385,000 to Northbridge.