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[:en]Québec – court offers reminder that arbitration agreements only bind parties – #029[:]

[:en]The Quebec Court of Appeal in Metso Minerals Canada Inc. v. BBA inc. 2017 QCCA 1544 firmly resolved irreconcilable procedural demands created when only some of the parties to a dispute had agreed to submit to arbitration. Weighing the competing inconveniences to the parties, the Appeal Court upheld a Quebec Superior Court decision and subordinated one party’s access to arbitration to another party’s reliance on court rules.

The decision is a reminder that agreements to arbitrate bind only those parties to it. If sophisticated parties in complex projects wish to consolidate their disputes either in court or in arbitration, the choice is theirs to negotiate beforehand — not the court’s to invent afterwards. Continue reading “[:en]Québec – court offers reminder that arbitration agreements only bind parties – #029[:]”

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[:en]B.C. – Defendants take one procedural step too many and cannot stay court action – #028[:]

[:en]In Pixhug Media Inc. v. Steeves, 2017 BCSC 2171,  Mr. Justice Paul J. Pearlman determined that Defendants can successfully contest interim measures obtained by a Plaintiff, including cross-examination on affidavit, document requests and a request security for costs related to the interim measures without risk of being precluded from obtaining the stay.  Defendants could not, however, take any steps which invoked the assistance of the court or advanced the litigation before applying for a stay. Continue reading “[:en]B.C. – Defendants take one procedural step too many and cannot stay court action – #028[:]”

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[:en]Ontario – court endorses reasonable standard of review in insurance arbitration – #027[:]

[:en]The Ontario Superior Court in Belairdirect Insurance v. Dominion of Canada General Insurance Company, 2017 ONSC 367  prioritized an arbitrator’s reliance on other arbitration awards over the arbitrator’s application of a contrary Superior Court decision with which the arbitrator disagreed but felt bound to follow.  The court effectively endorsed the arbitrator following arbitral precedent in the area of his expertise by declaring that his application stare decisis was not within his expertise.  Continue reading “[:en]Ontario – court endorses reasonable standard of review in insurance arbitration – #027[:]”

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[:en]Québec – court determines legislated arbitration procedure is mandatory only for commercial party to contract – #026[:]

[:en]The Court of Québec refused to dismiss litigation between parties who had already undertaken arbitration of some of their differences and sent the parties on to trial so that a trial judge could determine the overlap, if any, between the prior arbitral award and the court litigation.  The court in Gagnon v. Développement Hamavi inc., 2017 QCCQ 5269  also determined that the arbitration procedure set out in legislation for new residential constructions was mandatory for the builder and not by the buyer and concerned rights granted in supplement to the Civil Code of Québec, CQLR c CCQ-1991. Continue reading “[:en]Québec – court determines legislated arbitration procedure is mandatory only for commercial party to contract – #026[:]”

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[:en]Québec – court issues oral judgment dismissing contestation to homologation disguising a challenge to merits – #025[:]

[:en]The Court of Québec issued an oral judgment in 9143-0439 Québec inc. v. OAM Aluminium distributeur inc., 2017 QCCQ 1364  dismissing Defendant’s characterization of arbitral award as non-observance of applicable arbitration procedure or matters beyond the scope of the arbitration agreement.  The Court determined that the homologation stage was not an appeal of the award or an opportunity to challenge the merits. Continue reading “[:en]Québec – court issues oral judgment dismissing contestation to homologation disguising a challenge to merits – #025[:]”

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[:en]B.C. – court finds arbitrator’s disclosure sufficient for binding waiver of right to object to bias – #024[:]

[:en]British Columbia Supreme Court refused to order the revocation of an arbitrator’s authority for allegedly failing to make sufficient disclosure of potential conflicts.  The Supreme Court in Atlantic Industries Limited v. SNC-Lavalin Constructors (Pacific) Inc., 2017 BCSC 1263 determined that the arbitrator had met the standard of disclosure and the objecting party’s waiver of its right to object to potential bias was express, informed and binding. Continue reading “[:en]B.C. – court finds arbitrator’s disclosure sufficient for binding waiver of right to object to bias – #024[:]”

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[:en]Manitoba – court enforces efficiency and finality of arbitration to deny challenge to series of awards – #023[:]

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In Wolfe et al v Taylor et al; Fat Cat Farms Ltd et al v Wolfe et al, 2017 MBCA 74, Madam Justice Barbara M. Hamilton dismissed two applications under section 48 of Manitoba’s The Arbitration Act, CCSM c A120 for leave to appeal a Queen’s Bench’s dismissal of two applications to set aside awards.  She determined that the detailed awards had issued from an experienced commercial arbitrator in a highly contested private commercial arbitration and had been adequately considered by the court.  There would be no public interest in hearing the matter or injustice created by allowing the parties to obtain the resolution of their dispute.  Continue reading “[:en]Manitoba – court enforces efficiency and finality of arbitration to deny challenge to series of awards – #023[:]”

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[:en]Québec – court upholds dismissal of application to homologate and enforce final award due to lapse of time – #022[:]

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Québec’s Court of Appeal in Bard v. Appel, 2017 QCCA 1150 dismissed an appeal from a Superior Court decision in Bard v. Appel, 2015 QCCS 4752 which held that enforcement of a 2002 Florida final arbitration award was prescribed at the time its beneficiaries applied in 2014 in Québec to homologate and enforce.  Continue reading “[:en]Québec – court upholds dismissal of application to homologate and enforce final award due to lapse of time – #022[:]”

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[:en]Ontario – court enforces legislated cooling off period to prevent settlement ending arbitration – #021[:]

[:en]The Ontario Superior Court in Co-operators General Insurance Company v. Doobay, 2017 ONSC 5804 upheld a statutory rule limiting the time before which a negotiated settlement can terminate arbitration. The case should highlight that certain arbitrations, conducted under national legislation, may be subject to similar suspensive or resolutory conditions and that arbitral parties cannot presume their settlements are effective merely upon initial agreement of the parties.   Continue reading “[:en]Ontario – court enforces legislated cooling off period to prevent settlement ending arbitration – #021[:]”

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[:en]Ontario – court grants partial summary judgment instead of stay and conducts mini-trial for balance of claim – #020[:]

[:en]In Arkell v. Brightpath, 2017 ONSC 6612,  Mr. Justice Michael J. Emery combined two of Ontario’s procedural tools – section 7(2)(5) of the Arbitration Act, 1991, SO 1991, c 17  and Rule 20.01 summary judgment of Rules of Civil Procedure, RRO 1990, Reg 194 – to craft solutions to the parties’ disputes. Wielding both, he refused Defendant’s application to stay, agreed with Plaintiffs that both their claims were suitable for summary judgment consideration in preference to arbitration, granted one of Plaintiffs’ claims and kept jurisdiction over Plaintiffs’ other claim for the purpose of a mini-trial on the merits.   Continue reading “[:en]Ontario – court grants partial summary judgment instead of stay and conducts mini-trial for balance of claim – #020[:]”