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Good afternoon,

Following are the summaries for this week’s civil decisions of the Court of Appeal for Ontario.

There were not many substantive decisions. Perhaps the most interesting was Am-Stat Corporation v Ontario. In that case, the plaintiff sued the Ontario government for negligence or negligent misrepresentation. The plaintiff alleged that it had partly relied on a corporation profile report to approve a mortgage loan made to a corporation. The report indicated that the purported representative of the borrower who was dealing with the lender was indeed an officer and director of the borrower. It turned out to be a fraud, and the representative had no relationship to the borrower. The plaintiff lost its loan proceeds and sought to recover them from the province. The Court of Appeal upheld the lower court’s decision striking the action as disclosing no reasonable cause of action. The province is not responsible for ensuring the accuracy of the information filed on behalf of corporations. This is a reminder that corporate searches are useful investigative tools and can assist with due diligence during a transaction, but they are not determinative of anything and should not be relied upon.

Continue Reading BLANEY’S APPEALS: ONTARIO COURT OF APPEAL SUMMARIES (OCTOBER 29 – NOVEMBER 2, 2018)