Plaintiff
Defendant
Other
Background:
The case arose from an incident where over 500 vehicles were damaged by acid spilled on a highway near Trail, B.C. ICBC, the Insurance Corporation of British Columbia, sued International Raw Materials Ltd. (IRM) and Westcan Bulk Transport Ltd. (Westcan), among others, for damages. ICBC settled its claim with the defendants, but IRM pursued a third-party claim against Westcan. IRM argued Westcan was contractually required to add IRM as an additional insured under its insurance policies, which it failed to do.
Legal Issues:
Westcan sought to file a fourth-party notice against its insurance broker, Marsh Canada Ltd., claiming that Marsh was responsible for not securing the insurance coverage for IRM. Marsh opposed the application, asserting that Westcan's claim was barred by the two-year limitation period under the Limitation Act, S.B.C. 2012, c. 13. Westcan argued the limitation period had not expired because the relevant facts were only disclosed in a later amended notice.
Court Ruling:
The court ruled in favor of Westcan, granting it leave to file the fourth-party notice against Marsh. The court determined that the limitation period started when IRM filed its second amended third-party notice in December 2023, not earlier, making Westcan’s claim timely.
Costs:
The judgment focused on procedural issues and did not specify any monetary award or costs at this stage. The case will proceed with Westcan’s fourth-party claim against Marsh for indemnity and contribution.
Court
Supreme Court of British ColumbiaCase Number
S1810901Practice Area
Insurance lawAmount
Winner
DefendantTrial Start Date
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