New Guidance On The Individual Issues Stage Of Class Actions

Justice Perell's recent decision in Lundy v. Via Rail addresses a number of new issues concerning the individual issues stage of a class action under Ontario's Class Proceedings Act. In particular, it addresses the scope of the court's jurisdiction to design the procedure for the individual issues stage and the timing and content of offers to settle to individual class members. The decision will be highly relevant to future class actions where the class succeeds on common issues of liability but individual issues, such as assessment of damages, remain in dispute.

Background

In this class action, the defendants effectively admitted liability, but no party sought formal judgment on the common issues. Mediation was unsuccessful. The defendants wished to make offers to settle to individual class members, all of whose identities were known. Class counsel refused to present the offers to class members on the grounds that the case was not yet at the individual issues