Case Overview:

• Claim: Negligent misrepresentation regarding business interruption insurance coverage.
• Outcome: Summary judgment granted in favor of the defendant, dismissing the claim.

Key Facts:

1. The plaintiff, Woodman’s Welding & Machining Ltd., added "Business Interruption Actual Loss Sustained" (BIALS) coverage to their policy in 2019, based on the defendant, Charlie Cooke Insurance Agency Ltd.'s, recommendation.
2. After a fire in October 2020, the plaintiff claimed the insurance coverage was misrepresented as covering gross monthly income, which was not the case.
3. The defendant denied making such representations and argued the policy provided standard coverage based on actual losses.

Legal Issue:

• Whether the defendant negligently misrepresented the insurance coverage, causing the plaintiff to suffer damages.

Legal Analysis:

• The court applied the five criteria for negligent misrepresentation established in Queen v. Cognos Inc. (1993).
• The plaintiff failed to prove:
  • The representation was untrue or misleading.
  • The defendant acted negligently.
  • The plaintiff reasonably relied on the misrepresentation to their detriment.

Evidence Considered:

• Affidavits from the plaintiff and the defendant.
• Testimony and documents indicated the insurance policy terms aligned with the industry standard and defendant’s explanation.
• The court found inconsistencies in the plaintiff’s recollection and evidence supporting the defendant’s version of events.

Conclusion:

• No genuine issue requiring a trial was identified.
• The court ruled that the plaintiff misunderstood the policy terms rather than being misled.

Costs:

• Plaintiff ordered to pay $2,500 to the defendant.