[:en]In Lalli v. Gravel, 2018 QCCS 3927, Mr. Justice Lukasz Granosik accepted that a meeting conducted by a Mafia leader to resolve opposing interests and claims between two individuals over a particular piece of real estate validly qualified as an arbitration. Though unconventional, the constituent elements of the meeting – two individuals with opposing interests or claims summoned to appear before the Mafia leader who, after having heard each, decided in favour of Plaintiff – justified characterizing the meeting as an arbitration. Continue reading “[:en]Québec – Mafia leader’s resolution of real estate dispute qualifies as arbitration – #123[:]”
[:en]Québec – costs of arbitration incurred post-notice of intention not a claim provable in bankruptcy – #116[:]
[:en]In Proposition de 2295822 Canada Inc., 2018 QCCS 3862, Madam Justice Chantal Corriveau treated the costs of arbitration the same as court costs and applied the case law issuing in different Canadian jurisdictions to exclude the costs of arbitration from qualifying as a claim provable under the Bankruptcy and Insolvency Act, RSC 1985, c B-3 (“BIA”). Though the parties’ agreement to arbitrate, entered into prior to the debtor filing a notice of intention, mentioned the recovery of the costs of the arbitration, the agreement did not quantify them or impose them without condition on the losing party. Rather, the agreement merely gave the arbitrator jurisdiction to award them should she so decide and to do so in an amount subject to her determination. Continue reading “[:en]Québec – costs of arbitration incurred post-notice of intention not a claim provable in bankruptcy – #116[:]”
[:en]Québec – Court of Appeal upholds quashing arbitral party’s seizure of assets before award’s recognition/enforcement, award may also raise issue of public order – #114[:]
[:en]In deciding whether to grant leave to appeal an applications judge’s order, Mr. Justice Robert M. Mainville in Heft Family Law Inc. v. Alkhalafawi, 2018 QCCA 1262 set out the limits of a procedure available to arbitral parties in Québec looking to ensure recovery of their awards and the statutory framework for arbitrating fee disputes which exist in many self-governing professional orders in Québec. The reasons also anticipate a decision, to issue on the merits in the future, regarding Defendant’s argument that an arbitration award granting a contingency fee in family law matters is unenforceable as contrary to public order under article 646 of Québec’s Code of Civil Procedure, CQLR c C-25.01 (“C.C.P.”).
Continue reading “[:en]Québec – Court of Appeal upholds quashing arbitral party’s seizure of assets before award’s recognition/enforcement, award may also raise issue of public order – #114[:]”
[:en]Québec – court telephones its own choice of potential candidates during court hearing to appoint arbitrator – #113[:]
[:en]In Gestion PMOD Inc. v. 9E Bit (2015) Inc., 2018 QCCS 3594, Mr. Justice Jean-Guy Dubois demonstrated the court’s efforts to assist arbitral parties advance with their chosen form of dispute resolution. Dubois J. not only clarified the nature of each parties’ position to their dispute before granting Plaintiff’s motion to appoint an arbitrator but placed two (2) telephone calls during the court hearing to a pair of candidates of his own choosing and, confirming the second candidate’s acceptance and rate, appointed him as arbitrator. Dubois J. also closed his reasons with a clearly defined, non-binding obiter dictum section in which he articulated what he had determined was the scope of the dispute and the parties’ respective positions. Continue reading “[:en]Québec – court telephones its own choice of potential candidates during court hearing to appoint arbitrator – #113[:]”
[:en]Québec – bankruptcy proceedings stayed pending arbitration on merits of creditor’s claim – #110[:]
[:en]Mr. Justice Pierre C. Bellavance in Syndic de Station touristique Massif du Sud (1993) Inc., 2018 QCCS 3605 suspended the court’s determination of a creditor’s application for a bankruptcy order under the Bankruptcy and Insolvency Act, RSC 1985, c B-3 (“BIA”) pending the result of an imminent arbitration on the merits between the creditor and debtor. Though the debtor applied for the immediate dismissal of the creditor’s court application, arguing that the highly publicized litigation harmed its operations, Bellavance J. exercised his discretion under the BIA to suspend the court process. Bellavance J. did so because the court was not the appropriate forum for doing so and the parties were soon to proceed on the merits before the arbitration tribunal having jurisdiction. The forthcoming arbitration award would soon resolve the court litigation. Continue reading “[:en]Québec – bankruptcy proceedings stayed pending arbitration on merits of creditor’s claim – #110[:]”
[:en]Québec – arbitrator appointment process gives rise to reasonable apprehension of bias – #108[:]
[:en]Madam Justice Geneviève Marcotte in AEC Symmaf Inc. v. Poirier, 2018 QCCA 916 held that parties to an arbitration agreement must be explicit when choosing to arbitrate their oppression remedy and that a stay will still be refused if other claims before the court remain intertwined with and cannot be reasonably separated from the oppression remedy. Marcotte J.A. also agreed with the applications judge, Mr. Justice David R. Collier in Poirier v. AEC Symmaf Inc., 2018 QCCS 2946, that the arbitrator’s appointment for an oppression remedy could not be given exclusively to the Board of Directors of the corporation which is the object of the oppression remedy. Doing so submits the dispute to an arbitrator chosen by only one party to the dispute. Continue reading “[:en]Québec – arbitrator appointment process gives rise to reasonable apprehension of bias – #108[:]”
[:en]Québec – court challenges basis of familiar objections to stay applications – #105[:]
[:en]In Amusements Extra Inc. v. DEQ Systems Corp., 2018 QCCS 3198, Mr. Justice Michel Beaupré (i) refused to qualify defendant’s reliance on the arbitration agreement as dilatory, (ii) dismissed as ‘incoherent’ the argument that defendant’s alleged breach of the contract containing the arbitration agreement could be grounds to refuse a referral to arbitration and (ii) accepted that arbitration on one issue would proceed in parallel to litigation on several others because that very situation was what the parties had provided for when submitting only part of their business dealings and contractual relations to arbitration. His reasoning on those and other arguments serves to pre-empt others raising similar objections automatically or without sufficient facts. Continue reading “[:en]Québec – court challenges basis of familiar objections to stay applications – #105[:]”
[:en]Québec – broad and liberal interpretation of arbitration agreement limited by agreement’s narrow scope of dispute – #104[:]
[:en]A tenant and condo unit landlord successfully resisted their condo association’s motion to refer them to arbitration on the grounds that the arbitration agreement did not apply to the dispute before the court and that the agreement did not bind the tenant. In Lahaye-Abenhaïm v. Association des copropriétaires du Lowney 1, 2018 QCCS 3215, Madam Justice Johanne Brodeur held that even a broad and liberal interpretation of arbitration clauses still has to meet the parties’ intention to submit to arbitration as stated in their agreement. Continue reading “[:en]Québec – broad and liberal interpretation of arbitration agreement limited by agreement’s narrow scope of dispute – #104[:]”
[:en]Québec – court outlines and upholds confidentiality of what is “said, written or done during” arbitration – #102[:]
[:en]In SNC-Lavalin Inc. v. ArcelorMittal Exploitation minière Canada, 2018 QCCS 3024, Mr. Justice Jean-François Michaud maintained the confidentiality of materials prepared for use in an arbitration limited to two parties and prevented communication of those materials to other parties involved in litigation involving related, overlapping disputes. By maintaining the arbitral parties’ objections based on the confidentiality of arbitration as established by legislation and the arbitral parties’ agreement, Michaud J. held that third parties seeking access to those materials must demonstrate necessity and not merely relevance and convenience of obtaining access. The legislated protection applied only to what is “said, written or done during” arbitration and did not shield access to relevant, admissible documents which existed independent of the arbitration. Continue reading “[:en]Québec – court outlines and upholds confidentiality of what is “said, written or done during” arbitration – #102[:]”
[:en]Québec – court enforces parties’ requirement of post-dispute agreement to arbitrate – #092[:]
[:en]In 9283-7459 Québec inc. v. Anfossi Tassé d’Avirro inc., 2018 QCCS 2548, Madam Justice Suzanne Courchesne held that parties’ reference to arbitration in their contract was neither sufficient nor clear enough to eliminate recourse to the courts. By adding the mention of ‘by agreement of the parties’ in their undertaking to arbitrate, the parties had imposed a post-dispute requirement for fresh agreement to go to arbitration. Given that the responding party resisted arbitration, Courchesne J. held that the terms of the undertaking to arbitrate had not been met and she would not order the parties to do what they had not clearly undertaken to do. Continue reading “[:en]Québec – court enforces parties’ requirement of post-dispute agreement to arbitrate – #092[:]”