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ARTICLE · 24 NOVEMBER 2016

Agricultural Law Netletter - 7 November 2016

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A Justice of the Federal Court has overturned a decision of an arbitrator appointed under s. 169.37 and 169.38 of the Canada Transportation Act.

CanadaTransport
Brian Kaliel K.C.
Brian Kaliel K.C.
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HIGHLIGHTS

* A Justice of the Federal Court has overturned a decision of an arbitrator appointed under s. 169.37 and 169.38 of the Canada Transportation Act. The arbitrator had rejected Canadian National Railway's argument that it was entitled to ration the number of cars supplied during peak periods of demand and inclement winter weather. The Court held that by eliminating the possibility of rationing cars in appropriate circumstances, the arbitrator ignored CN's obligations to other shippers and its operational restrictions, both of which are mandatory statutory considerations under the Act. (Canadian National Railway Company v. Louis Dreyfus Commodities Canada Ltd., CALN/2016-026, [2016] F.C.J. No. 1163, Federal Court)

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