18 Feb 2025
Spasiw v. Quality Green Inc.
Background:
- The appellants, Andrew Spasiw and Astute Ventures Ltd., initiated legal action against Quality Green Inc., Quintet Ventures Inc., Andrew Robinson, Adrian Robinson, 1160094 B.C. LTD., and 1161845 B.C. LTD.
- The appeal arose from a Superior Court decision affirming an Associate Justice’s stay of proceedings based on arbitration clauses in the parties' agreements.
Key Legal Issues & Findings:
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Characterization of the Dispute:
- The associate justice found the substance of the claims (fraudulent misrepresentation, oppression, disgorgement, unjust enrichment, rescission) to be contractual and therefore subject to arbitration.
- A stay was imposed under s. 7(1) of the Arbitration Act, 1991, which mandates a stay where an arbitration agreement applies.
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Appeal Judge’s Decision:
- The appellants challenged the constitutionality of s. 7 and the characterization of the dispute.
- The appeal judge upheld the stay, finding no palpable or overriding error in the associate justice’s reasoning.
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Finality of Stay Orders (Arbitration Act, s. 7(6)):
- The Court of Appeal dismissed the appeal, ruling that s. 7(6) bars appeals from stay orders under s. 7(1).
- Cited Telus Communications Inc. v. Wellman, 2019 SCC 19.
Outcome:
- Appeal dismissed.
- Each party to bear its own costs.
- No monetary damages or costs were awarded.