Tazco Holdings Inc. v. Advantage Products Inc.

Tazco Holdings Inc. v. Advantage Products Inc.

Brownlee LLP is disqualified because evidence established a prior retainer sufficiently related to the present litigation from which confidential information was likely imparted to partner Kathol, and there exists a real risk that such information could be used to Advantage's detriment; delay by Advantage did not cure the conflict though it affected costs, so disqualification is warranted to preserve public confidence in the administration of justice.

Citation
2007 FC 879
Parties
Plaintiff (respondent): Tazco Holdings Inc.; Plaintiff (respondent): Excalibre Oil Tools Ltd.; Plaintiff (respondent): Tebo Industries Ltd.; Defendant (applicant): Advantage Products Inc.; Defendant (applicant): Genesis Machining Services Inc.; Defendant (applicant): Weatherford Canada Ltd.
Court
Federal Court
Jurisdiction
Canada
Judgment Date
31 August 2007
Procedural Posture
Patent Infringement / Rule 369 Motion to Disqualify Counsel; Reasons and Order
Outcome
Brownlee LLP disqualified and removed as counsel for the plaintiffs; no costs awarded; plaintiffs ordered to retain new counsel and proceed to case management
Legal Topics
Solicitor Disqualification, Former Client Confidentiality, Duty of Loyalty, Removal Litigation, Federal Courts Rules Rule 369
Source Language
English
Patent Law Professional Conduct Conflict of Interest Civil Procedure Solicitor Disqualification Former Client Confidentiality Duty of Loyalty Removal Litigation +1 more

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Parties

Tazco Holdings Inc.

Plaintiff (respondent)

Excalibre Oil Tools Ltd.

Plaintiff (respondent)

Tebo Industries Ltd.

Plaintiff (respondent)

Advantage Products Inc.

Defendant (applicant)

Genesis Machining Services Inc.

Defendant (applicant)

Weatherford Canada Ltd.

Defendant (applicant)

Procedural Posture

Patent Infringement / Rule 369 Motion to Disqualify Counsel; Reasons and Order

Legal Issues

  1. 1 Whether Brownlee LLP is in a position of disqualifying conflict for acting against a former client
  2. 2 Whether delay by the defendants in bringing the motion bars disqualification or affects relief

Ratio Decidendi

Brownlee LLP is disqualified because evidence established a prior retainer sufficiently related to the present litigation from which confidential information was likely imparted to partner Kathol, and there exists a real risk that such information could be used to Advantage's detriment; delay by Advantage did not cure the conflict though it affected costs, so disqualification is warranted to preserve public confidence in the administration of justice.

Court Disposition

Brownlee LLP disqualified and removed as counsel for the plaintiffs; no costs awarded; plaintiffs ordered to retain new counsel and proceed to case management

Orders

  • Brownlee LLP is disqualified from acting as counsel for the plaintiffs and is removed as counsel of record
  • There shall be no costs of this motion