ONTARIO – Settlement – Settling parties must immediately disclose a partial settlement if the settlement changes entirely the litigation landscape in a way that significantly alters the dynamics of the litigation. Failure to do so is an abuse of process for which a stay of the action against the non-settling defendants is the remedy.

ONTARIO – Arbitration – Scope of Court review under s. 34 of the Commercial Arbitration Code, Schedule I to the Commercial Arbitration Act, R.S.C. 1985, c. 17 – Review is not an appeal and is expressly limited to “true jurisdictional questions” and does not include court review of the reasonableness or correctness of the arbitral award.

ONTARIO – International Arbitration – Where a party to an arbitration agreement seeks substantive relief in court proceedings, that party breaches the negative obligation not to litigate the arbitration agreement. Such a breach is a waiver of the right to arbitrate, which renders the arbitration clause inoperable. – Article 8(1) of the Model Law – International Commercial Arbitration Act, 2017.

ONTARIO - Partnerships – Derivative Action – A derivative action is an extraordinary remedy. Limited partners may be granted leave to bring a derivative action on behalf of the Limited Partnership (“LP”) against the General Partner (“GP”) if: 1) The GP will not bring the action, 2) The applicant is acting in good faith, 3) it appears to be in the best interests of the corporation, and 4) There is no alternative adequate remedy.

ONTARIO – Arbitration – Jurisdiction – International Commercial Arbitration Act, 2017, SO 2017, c 2, Sch 5 (“the ICAA” – Model Law on International Commercial Arbitration, (“the Model Law”) Article 34 – Where parties agreed that an international arbitration relating to a particular dispute under their agreement would take place in Ontario under Ontario law, an application to set aside that arbitration award must be made to the Ontario Superior Court, despite a forum selection clause in the parties’ agreement that selected the Courts of the State of New York for the resolution of all other disputes.

ONTARIO – Arbitration – Meaning of “fraud” in ss. 46(1)9 and 47(2) of Arbitration Act 1991, S.O. 1991, c. 17 (“the Act”) – Application to set aside an arbitral award on the basis that it was obtained by “fraud” must show evidence of actual fraud not “constructive fraud”. The 30 day time limit for an appeal or an application to set aside an arbitral award under s. 47(2) is not extended by evidence of “constructive fraud”.