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ARTICLE · 14 JULY 2015

The Cost Of An Ineffective Conflict Check System: $45 million!

Gowling WLG
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the Ontario Superior Court of Justice released its decision in the Trillium Motor World Ltd. v. General Motors of Canada Limited class action trial, granting the plaintiffs damages in the amount of $45 million.

CanadaLitigation, Mediation & Arbitration

On July 8, 2015, the Ontario Superior Court of Justice released its decision in the Trillium Motor World Ltd. v. General Motors of Canada Limited class action trial,1 granting the plaintiffs damages in the amount of $45 million.

The liable party was not General Motors of Canada Limited (GMCL), but rather the law firm Cassels Brock & Blackwell, which the court held had been in conflict of interest following retainers with multiple parties involved in the 2009 post-economic downturn restructuring of GMCL's dealership network in Canada.

The damages were awarded in consideration of dealers' lost opportunity to obtain greater compensation from GMCL in connection with the restructuring and the winding down of a large number of GMCL dealerships.

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