Overview:
The case involves an appeal and cross-appeal about the entitlement and calculation of Professional Allowance payments for patient care services under franchise agreements between Shoppers Drug Mart and its franchisees.
Key Issues:
- Entitlement to Professional Allowances: Whether Shoppers could retain Professional Allowances under the 2002 and 2010 agreements.
- Contract Breach: Whether retaining these allowances breached the agreements.
- Statute of Limitations: If some claims were time-barred.
- Damages: Whether aggregate damages were appropriate.
Decisions:
- 2002 Agreement: Court found Shoppers breached the agreement by not remitting Professional Allowances to franchisees.
- 2010 Agreement: Court upheld Shoppers' right to retain allowances, citing explicit terms.
- Statute of Limitations: Claims before November 2008 were barred.
- Damages: Aggregate damages were not viable; individual claims must be proven separately.
Outcome:
The appeal and cross-appeal were largely dismissed, except for adjusting the amount of Professional Allowances received by Shoppers to $1.084 billion.
Successful Party:
- Mixed outcome. Plaintiffs succeeded on the 2002 Agreement; Shoppers succeeded on the 2010 Agreement.
Monetary Award/Costs/Damages:
- No aggregate damages were awarded. Claims must be individually proven in future trials. The court confirmed Shoppers received $1.084 billion in Professional Allowances.
