BCCA Finds Courts Can Consider Insurance Under Rule 37B


Very important reasons for judgement were released recently by the BC Court of Appeal addressing a key factor under Rule 37B.
By way of brief introduction Rule 37B is the current rule dealing with formal settlement offers.   (Rule 37B will be replaced with Rule 9 next month but the new rule uses language that is almost identical to Rule 37B).
The Court can take formal settlement offers into account when awarding a party costs.  One factor the Court can consider in deciding whether to award costs or increased costs under Rule 37B is “the relative financial circumstances of the parties“.
In most personal injury lawsuits Defendants are insured such that they don’t have a significant financial stake in the outcome of the trial.  BC Supreme Court judges have been conflicted in whether insurance is a relevant consideration when viewing the financial circumstances of the parties.  Today the BC Court of Appeal addressed this issue for the first time.
In today’s case (Smith v. Tedford) the Plaintiff was injured in a motor vehicle collision.  Before trial the Plaintiff made a formal settlement offer.   Several days into trial the Defendant accepted the offer.   The parties could not agree on the costs consequences.  The trial judge awarded the Plaintiff costs to the time the offer was made and double costs for the time spent at trial.  (You can click here to read my post summarizing the trial judge’s reasons).  In doing so the Judge considered the fact that the Defendant was insured with ICBC as relevant to his ‘financial circumstances“.
ICBC, on behalf of the Defendant, appealed arguing that the Judge was wrong to consider insurance.   In a welcome development the BC Court of Appeal found as follows:
While I recognize arguments over the implications of a defendant’s insurance coverage being considered in relation to an award of costs may go back and forth, like the judge I consider precluding such from consideration renders an assessment of the parties’ relative financial circumstances, at least in a case of this kind, very artificial indeed. Clearly, with ICBC having assumed the defence, the financial ability to defend was much greater than the financial ability to prosecute, and that is of no small importance to considering whether and to what extent the financial circumstances of the parties, relative to each other, bear on an award of costs where, as here, there has been an offer of settlement made ten days before a trial for the assessment of personal injury damages which was not accepted until the seventh day of the trial.

financial circumstances of the parties, Insurance, Relevance of Insurance, Rule 37B, Rule 9, Rule 9-1, Rule 9-1(5), Rule 9-1(6), smith v. tedford

Comments (45)

  • I just want to say I am very new to blogs and really loved you’re web blog. More than likely I’m want to bookmark your blog . You amazingly have wonderful writings. Thank you for sharing with us your blog.

  • I was recommended this website by my cousin. I’m not sure whether this post is written by him as no one else know such detailed about my problem. You are incredible! Thanks!

  • hello there and thank you for your information – I have definitely picked up something new from right here. I did however expertise several technical points using this web site, since I experienced to reload the web site lots of times previous to I could get it to load properly. I had been wondering if your hosting is OK? Not that I am complaining, but sluggish loading instances times will sometimes affect your placement in google and could damage your quality score if advertising and marketing with Adwords. Anyway I’m adding this RSS to my email and could look out for a lot more of your respective fascinating content. Make sure you update this again very soon..

  • A person necessarily help to make significantly posts I would state. That is the first time I frequented your website page and thus far? I amazed with the analysis you made to create this particular put up extraordinary. Fantastic job!

  • I was just searching for this info for a while. After six hours of continuous Googleing, finally I got it in your site. I wonder what’s the lack of Google strategy that don’t rank this type of informative web sites in top of the list. Normally the top sites are full of garbage.

  • Howdy would you mind stating which blog platform you’re using? I’m going to start my own blog in the near future but I’m having a difficult time making a decision between BlogEngine/Wordpress/B2evolution and Drupal. The reason I ask is because your design seems different then most blogs and I’m looking for something completely unique. P.S Sorry for getting off-topic but I had to ask!

  • What’s Happening i’m new to this, I stumbled upon this I have found It positively useful and it has helped me out loads. I hope to give a contribution & assist different customers like its aided me. Good job.

  • It is the best time to make some plans for the future and it is time to be happy. I have read this post and if I could I desire to suggest you some interesting things or suggestions. Perhaps you can write next articles referring to this article. I wish to read more things about it!

  • Wow that was odd. I just wrote an very long comment but after I clicked submit my comment didn’t appear. Grrrr… well I’m not writing all that over again. Regardless, just wanted to say superb blog!

  • Hello there, just become aware of your weblog through Google, and located that it is really informative. I’m gonna watch out for brussels. I will appreciate for those who continue this in future. Numerous other folks will be benefited from your writing. Cheers!

  • Heya i am for the first time here. I came across this board and I in finding It really useful & it helped me out much. I am hoping to present one thing back and help others like you helped me.

  • I actually wanted to write a simple remark to appreciate you for some of the great suggestions you are sharing here. My extensive internet investigation has finally been compensated with high-quality points to write about with my partners. I ‘d assume that most of us site visitors are unequivocally lucky to dwell in a notable place with many perfect professionals with interesting points. I feel pretty grateful to have seen the web site and look forward to so many more fun times reading here. Thanks once more for all the details.

  • Whats Taking place i’m new to this, I stumbled upon this I’ve found It absolutely useful and it has aided me out loads. I’m hoping to give a contribution & aid different customers like its aided me. Great job.

  • Hey there I am so delighted I found your blog, I really found you by mistake, while I was looking on Digg for something else, Nonetheless I am here now and would just like to say many thanks for a marvelous post and a all round interesting blog (I also love the theme/design), I don’t have time to read it all at the moment but I have saved it and also added in your RSS feeds, so when I have time I will be back to read more, Please do keep up the fantastic job.

  • Write more, thats all I have to say. Literally, it seems as though you relied on the video to make your point. You definitely know what youre talking about, why throw away your intelligence on just posting videos to your blog when you could be giving us something informative to read?

  • Its like you read my mind! You seem to know so much about this, like you wrote the book in it or something. I think that you can do with some pics to drive the message home a bit, but other than that, this is wonderful blog. A fantastic read. I will definitely be back.

  • I have been browsing online greater than 3 hours lately, but I by no means discovered any interesting article like yours. It¡¦s pretty value enough for me. In my view, if all web owners and bloggers made excellent content material as you did, the internet shall be much more useful than ever before.

  • I am also writing to make you understand what a extraordinary encounter my cousin’s daughter encountered reading the blog. She figured out some issues, not to mention how it is like to possess an ideal helping heart to let other individuals easily know just exactly specified tortuous things. You truly did more than our expectations. I appreciate you for providing those necessary, dependable, explanatory and even fun tips about your topic to Emily.

  • Somebody essentially help to make seriously articles I would state. This is the very first time I frequented your web page and thus far? I amazed with the research you made to create this particular publish extraordinary. Excellent job!

  • I must express some appreciation to this writer for bailing me out of such a issue. Right after scouting throughout the world-wide-web and obtaining methods which were not beneficial, I thought my life was well over. Being alive without the presence of approaches to the issues you’ve fixed all through the short post is a critical case, and those which might have adversely damaged my career if I had not discovered your web blog. Your own personal understanding and kindness in controlling a lot of stuff was tremendous. I don’t know what I would’ve done if I hadn’t come across such a solution like this. I can also at this point relish my future. Thanks a lot so much for the impressive and effective help. I will not hesitate to recommend your blog to any person who should have recommendations on this matter.

  • hi!,I like your writing very much! percentage we keep in touch extra about your post on AOL? I require an expert on this area to unravel my problem. Maybe that is you! Taking a look forward to peer you.

  • I used to be very happy to find this net-site.I wished to thanks to your time for this wonderful learn!! I undoubtedly enjoying every little bit of it and I have you bookmarked to check out new stuff you blog post.

  • The following time I read a weblog, I hope that it doesnt disappoint me as much as this one. I imply, I know it was my option to read, but I actually thought youd have one thing fascinating to say. All I hear is a bunch of whining about something that you would fix in case you werent too busy on the lookout for attention.

  • My spouse and I stumbled over here by a different website and thought I should check things out. I like what I see so now i am following you. Look forward to exploring your web page repeatedly.

  • Heya are using WordPress for your site platform? I’m new to the blog world but I’m trying to get started and set up my own. Do you need any coding knowledge to make your own blog? Any help would be greatly appreciated!

Comments are closed.

Contact

If you would like further information or require assistance, please get in touch.

ERIK
MAGRAKEN

Personal Injury Lawyer

When not writing the BC Injury Law Blog, Erik is the managing partner at MacIsaac & Company, based in Victoria, B.C. He is also involved with combative sports regulatory issues and authors the Combat Sports Law Blog.

“Work hard, be kind and enjoy the ride!”
Erik’s Philosophy

    Disclaimer