Electricity ratepayers brought an action seeking damages and declaratory relief concerning the sale of shares in Hydro One, alleging that the Premier and Ministers acted in bad faith to reward political donors and obtain further donations to the Ontario Liberal Party.
The motion judge struck out the claim under Rule 21, finding it was not justiciable as it concerned core policy and the pleadings were inadequate to support an inference of bad faith.
The appellants appealed, arguing the motion judge erred in assessing the facts in isolation, misconstruing material facts, and failing to accept pleaded facts as true.
The Court of Appeal dismissed the appeal, holding that the appellants' allegations were insufficient to plead bad faith and that accepting such a pleading would undermine the immunity afforded to core policy decisions.