W. L. N. Somerville

The appellants, who were minors at the time of their respective motor vehicle accidents, commenced actions for damages more than two years after the accidents but within two years of reaching the age of majority.

The central issue was whether the two-year limitation period in section 180(1) of the Highway Traffic Act excluded the operation of section 47 of the Limitations Act, which postpones the running of limitation periods for persons under legal disability.

The Supreme Court of Canada held that the provisions are not inconsistent and that section 47 applies to postpone the limitation period for minors.

The appeals of the minor plaintiffs were allowed.

However, the adult plaintiff's claim, which was commenced after the limitation period expired, was held to be incurably out of time and was dismissed.

The respondent lawyer was sued for fraud by a bank.

He sought a defence from his liability insurer.

The insurer denied the obligation to defend, relying on an exclusion clause for fraudulent acts.

The bank later discontinued the action, and the respondent sued the insurer for his unrecovered defence costs.

The Supreme Court of Canada held that the duty to defend is governed by the pleadings.

Since the pleadings only alleged fraud, which was excluded from coverage, the insurer had no duty to defend.

The appeal by the insurer was allowed.