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Cases

Case #068E – Mensula Bancorp Inc. v. Halton Condominium Corporation No. 137

ONTARIO – Arbitration – Court’s right to interfere with an arbitrator’s award under s. 46(1)3 of the Arbitration Act, 1991, S.O. 1991, c. 17 (the “Act”) is limited to whether the arbitrator had jurisdiction to decide the matter. Where the application judge finds that an arbitrator had jurisdiction to interpret an agreement, and did so, the role of the court under s. 46(1)3 of the Act is at an end, and it is irrelevant whether the interpretation was correct or reasonable.
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Case #067E – Justmark Industries Inc. v. Infinitus (China) Ltd.

ONTARIO – Referral to arbitration and stay of action – UNCITRAL Model Law Art. 8(1) and ICAA, 2017 s.9 – Waiver of a party’s right to arbitrate requires full knowledge of rights and an unequivocal, conscious intention to abandon them. A party to an arbitration agreement does not waive its right to arbitration or render the arbitration agreement inoperative by failing to respond to emails proposing arbitration.
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Case #066D – Aroma Franchise Company Inc. v Aroma Espresso Bar Canada Inc.

ONTARIO – Arbitration - Where the Arbitrator was “functus officio” with respect to the Final Award, the court refused a motion to dismiss an application to set aside an arbitrator’s final award that alleged bias. Allegations of arbitrator bias can be raised as a ground to set aside an award pursuant to Article 34 of the Model Law, if the bias amounts to the parties not being treated equally.
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Case #065M – 10443204 Canada Inc. v. 2701835 Ontario Inc. 2022 ONCA 745

ONTARIO – Business Law – Entire agreement clause cannot preclude a defence of fraudulent misrepresentation. The existence of opportunities to discover the truth does not deprive the victim of its right to avoid a contract based on a fraudulent misrepresentation. Even if a party was afforded an opportunity to investigate a misrepresentation, that does not deprive the party of the right to avoid a contract obtained by misrepresentation.
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Case #064M – Peace River Hydro Partners v. Petrowest Corp. 2022 SCC 41

CANADA – Enforceability of arbitration agreement – Section 15 of the BC Arbitration Act does not require a court to stay a civil claim brought by a court-appointed receiver in every case where the claim is subject to a valid arbitration agreement. Where arbitration would compromise the orderly and efficient conduct of a court-ordered receivership, an otherwise valid arbitration agreement may be inoperative and unenforceable. The Court’s analysis as to whether to stay an action in favour of arbitration is fact-specific.
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Case #063D – Difederico v. Amazon.Com Inc. et al, 2022 FC 1256

ONTARIO – Dispute Resolution Clause - Where a class action plaintiff agreed by “click through” to an online merchant’s Conditions of Use that provided for all disputes to be resolved by arbitration according to U.S. Federal law and prohibited class actions, the Court stayed the action in favour of arbitration on the basis that the clause was not void, inoperative or incapable of performance. The online merchant’s subsequent changes to its dispute resolution clause to permit actions in courts in the Plaintiff’s provinces of residence was argued by the parties but did not change the Court’s decision to stay the action.
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