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ARTICLE · 06 AUGUST 2020

Supreme Court Of Canada Provides Clarity For Class Actions

A recent Supreme Court of Canada decision definitively settles longstanding uncertainty about whether the doctrine of waiver of tort operates as an independent cause of action.

CanadaLitigation, Mediation & Arbitration

A recent Supreme Court of Canada decision definitively settles longstanding uncertainty about whether the doctrine of waiver of tort operates as an independent cause of action. The decision has important implications for defending certification applications in class action lawsuits.

Background

Douglas Babstock and Fred Small, two Newfoundland residents, commenced a proposed class action against Atlantic Lottery Corporation (ALC) on behalf of all Newfoundland residents who paid to play video lottery terminal games (VLTs) in Newfoundland during the six years preceding the lawsuit. ALC is the body that approves the operation of VLTs in Newfoundland and Labrador. Babstock and Small alleged that VLTs are inherently dangerous, deceptive, and associated with an increased risk of addiction and suicidal ideation. They asserted ALC breached common law and contractual duties by providing VLTs to the public.

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