In a recent decision on a defamation claim, the Manitoba Court
of Appeal ("MBCA") reduced a $500,000.00 jury award by 90
percent, deeming it "wholly disproportionate and shockingly
unreasonable."1
While there has been no 'cap' set for general damages
for defamation in Canada, an award in excess of $250,000 for
general and aggravated damages in a defamation lawsuit is highly
unusual, if not unheard of. As Justice of Appeal Burnett remarked
in the introduction to Chartier v Bibeau, "civil jury
trials in Manitoba are rare. Awards for defamation in that amount
are virtually non-existent."2
Facts
The plaintiff, Marcel Chartier, was a commercial real estate
broker and developer. He and the defendant, Serge Bibeau, were
friends and business partners. In fact, Bibeau's returns on
previous investment deals with Chartier were estimated to be
somewhere between $10 and 20 million.