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Contingency fee agreement approved as reasonable under Solicitors Act.
The moving law firm sought approval of a contingency fee agreement and settlement involving a catastrophically injured plaintiff represented by a litigation guardian.
The court was required to determine the reasonableness of the contingency fee agreement under s. 24 of the Solicitors Act following direction from the Court of Appeal that fairness and reasonableness be assessed separately.
Considering the complexity of the liability issues, the catastrophic damages, the litigation risk including potential contributory negligence, and the substantial work performed, the court held the 25% contingency fee reasonable.
The court emphasized that the assessment of contingency fees focuses on recovery achieved rather than docketed time alone.
The contingency fee agreement and proposed legal fees were approved.
Appeal allowed and matter remitted for trial as no actual prejudice to defence was established.
The Ministry of Labour appealed a decision staying or dismissing charges against the respondent employer.
The Court of Appeal allowed the appeal, finding no evidence of actual, irremediable prejudice to the respondent's ability to make full answer and defence simply because the employees no longer worked for the employer.
The matter was remitted to the trial court for trial.