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John Adair and David Ionis acted for the successful respondents in this important appeal clarifying that the partial settlement disclosure regime—whether under Handley Estate, or under the new Rule 49.14 of the Rules of Civil Procedure—does not apply in class actions context. The Court accordingly declined to interfere with the motion judge's decision not to grant the requested stays of proceedings, and affirmed the partial settlement of the COVID-19 business interruption insurance class action against Aviva Insurance Company of Canada. 

In addition to clarifying the inapplicability of the partial settlement disclosure regime to class actions, the Court of Appeal rejected the appellant insurance company's claims of deceit, concealment, and abuse of process, finding that it had received timely—and arguably immediate—disclosure of the class settlement and was a full participant in the approval hearing. The Court of Appeal ultimately upheld the motion judge's approval of the settlement, including a bar order precluding the appellant from claiming over, finding no real or practical economic prejudice. The appeal was dismissed in full, representing a significant win for our clients.

You can read more about the decision here.