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ARTICLE · 22 MARCH 2021

Appellate Court Rules On Cyber Breach Class Action Coverage Dispute

Borden Ladner Gervais LLP
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On March 15, 2021, the Ontario Court of Appeal released its decision in Family and Children's Services of Lanark, Leeds and Grenville v. Co-operators General Insurance Company.

CanadaLitigation, Mediation & Arbitration
Kirk Boyd
Kirk Boyd
Edona Vila
Edona Vila
Christine Kucey
Christine Kucey
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On March 15, 2021, the Ontario Court of Appeal released its decision in Family and Children's Services of Lanark, Leeds and Grenville v. Co-operators General Insurance Company. This proceeding arose out of three separate applications dealing with the duty to defend, which were heard together.

Family and Children's Services of Lanark, Leeds and Grenville (FCS) claimed that it was hacked in April 2016, and confidential reports were allegedly leaked onto two Facebook pages. Prior to this incident, FCS had hired Laridae Communications (Laridae) to refresh and review the FCS website. FCS and Laridae were both insured by Co-operators General Insurance Company (Co-operators). Following these alleged unintended disclosure incidents, a class proceeding was commenced against FCS seeking damages of $75 million. FCS also brought a third-party claim against Laridae.

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