Claims of deceit will generally not give rise to insurance coverage

No coverage under homeowner policy for claim against vendor for fraudulent misrepresentation leading to sale of home.

Chrysanthis v. Ali, [2013] O.J. No. 1239, March 18, 2013, Ontario Superior Court of Justice, D.F. Baltman J.

Continue Reading...

An insured who is not authorized by law to operate a motor vehicle may be entitled to uninsured automobile insurance under his or her policy

The defendant insurer sought dismissal of a claim for coverage under the uninsured automobile provisions of a policy. The claim had been denied on the basis the insured was in breach of the statutory conditions of the policy. The insurer brought a motion for summary dismissal and the motion was dismissed. The insurer appealed and the Court of Appeal upheld the motion decision, holding that the statutory conditions did not apply to uninsured automobile coverage. The Court of Appeal also held that the Limitation Act applied to a cross-claim brought by the Minister of Finance under the Motor Vehicle Accident Claims Act, but stayed the application to have the cross-claim dismissed.

Bruinsma v. Cresswell, [2013] O.J. No. 770, February 22, 2013, Ontario Court of Appeal, J.I. Laskin, H.S. LaForme and A. Hoy JJ.A.

Continue Reading...

Damages associated with the loss of marijuana plants is limited to $1,000 per plant

An action for coverage under a homeowner's insurance policy to recover the full value of legally cultivated marijuana plants was dismissed. Coverage was limited to $1000 per plant as per the extended coverage provisions of the policy. The fact that the plants were not grown for "landscaping" purposes did not bring them under the general contents coverage under the policy.

Stewart v. TD General Insurance Co., [2013] O.J. No. 955, March 7, 2013, Ontario Superior Court of Justice, J.A. Ramsay J.

Continue Reading...

A fleet vehicle may be insured if it is generally used for the insured purpose, despite the fact that it is damaged while being operated for an unrated use

The action for coverage under a commercial motor vehicle insurance policy was allowed where the court held that the coverage available for a higher rated vehicle could be substituted for the coverage for a lower rated vehicle provided that the coverage on the owner's other vehicles was correctly rated for their general use, even if they were operating in excess of their insured range on the day in question.

Streeper Contracting Ltd. v. Insurance Corp. of British Columbia, [2013] B.C.J. No. 389, British Columbia Supreme Court, L. Fenlon J.

Continue Reading...

A vacant property may not be entitled to fire insurance

A plaintiff filed a claim against his insurer after his home was destroyed by fire. The plaintiff’s claim was dismissed.

Duguay v. Lloyd's Underwriters, [2012] N.B.J. No. 438, October 31, 2012, New Brunswick Court of Queen's Bench - Trial Division, R. Léger J.

Continue Reading...

A lessee with an option to purchase may be an owner

A lessee with an option to purchase a vehicle is an "owner" under s. 1 of the Motor Vehicle Act. Other insurance policies contemplating an "owner" must be read in light of this definition.

Lombard General Insurance Co. of Canada v. Canadian Direct Insurance Inc., [2013] B.C.J. No. 41, January 11, 2013, British Columbia Supreme Court, P.D. Leask J.

Continue Reading...

Generally allegations of assault and battery will not raise a duty to defend

Insurer was not under a duty to defend an insured in an action where the insured, a teacher, was alleged to have committed assault and battery in respect to a student.

Dube v. BCAA Insurance Corp., [2012] B.C.J. No. 2751, December 24, 2012, British Columbia Supreme Court, S.F. Kelleher J.

Continue Reading...

Initiation of the appraisal process does not preclude the jurisdiction of the supreme court rules

The insurer ("Axa") was successful in obtaining an order compelling the insured, Lauzon (the "plaintiff"), to attend either at an examination under oath or at an examination for discovery to answer questions pertaining to the quantum of damages despite the fact that the appraisal procedure under the Insurance Act had been invoked.

Lauzon v. Axa Insurance (Canada), [2012] O.J. No. 5871, November 27, 2012, Ontario Superior Court of Justice, C.S. Glithero J.

Continue Reading...

Work functions will be differentiated from social functions despite the connection between the employment and the social activity

When employees are covered under a "professional policy" of CGL insurance for acts "only with respect to their employment", a commercially reasonable line must be drawn between what are essentially work functions and what are essentially social functions, even if some weak connection remains between the employment and the social function.

Danicek v. Alexander Holburn Beaudin & Lang [2012] B.C.J. No. 2257, November 2, 2012, British Columbia Court of Appeal, M.V. Newbury, S.D. Frankel and E.A. Bennett JJ.A.

Continue Reading...

Where material facts are in dispute the insured's duty to indemnify cannot be determined

Application, prior to trial, by the insureds for a declaration that the insurers had a duty to indemnify them for all damages (other than punitive damages). Application dismissed. Where the material facts are in dispute, the insurer's duty to indemnify should not be determined prior to trial.

Oxford (County) v. Guarantee Co. of North America, [2012] O.J. No. 4887, July 13, 2012, Ontario Superior Court of Justice, V. Mitrow J.

Continue Reading...