The plaintiff was seriously injured in a motor vehicle accident in Ontario and later moved to Alberta, where she received further hospital care.
Alberta Health asserted a subrogated claim for the cost of her hospital expenses in Alberta.
The Court of Appeal held that while Alberta Health had a valid subrogated right under the Alberta Hospitals Act, the claim was barred by section 267(1)(b) of the Ontario Insurance Act, which prevents a plaintiff from recovering damages for payments received under a hospitalization plan.
Because the plaintiff's claim was barred, Alberta Health's derivative subrogated claim was also barred.
The appeal was dismissed.