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ARTICLE · 31 MARCH 2021

Prompt Disclosure Of Partial Settlement Agreements

The court's decision in Poirier v. Logan, 2021 ONSC 1633, demonstrates the importance of promptly disclosing partial settlement agreements that change the adversarial orientation of the proceeding.

CanadaLitigation, Mediation & Arbitration

The court's decision in Poirier v. Logan, 2021 ONSC 1633, demonstrates the importance of promptly disclosing partial settlement agreements that change the adversarial orientation of the proceeding.

The plaintiff sued several parties. In October 2019, the plaintiff and one of the defendants entered into a settlement agreement wherein the action would be dismissed against that defendant and that defendant would provide a sworn affidavit. This affidavit contained evidence that assisted the plaintiff's case against the co-defendants.

Six months later, the plaintiff's lawyer advised the co-defendants' lawyers of the partial settlement.

Justice Perell noted that when a plaintiff settles with one or more co-defendants, and the settlement changes the adversarial orientation of the proceeding, such as when the settling co-defendant agrees to cooperate in the plaintiff's prosecution of the case, the plaintiff must immediately disclose to the non-settling defendants: (a)

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