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The Ontario Court of Appeal quashed Argentina’s appeal, holding the service-validity order was interlocutory and not appealable as of right.
The Federal Court dismissed Oliver King’s action against two German state entities, finding they were immune from Canadian jurisdiction under the State Immunity Act.
The Federal Court of Appeal held the Federal Court did not err: a de novo review on legal questions was appropriate and there was no basis to pierce the corporate veil on the facts; control alone is insufficient to impose parent liability for a subsidiary's debts, therefore the garnishment against Nevsun could not stand.
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Applying the contextual test, the Court found the Dutch authorities’ actions were regulatory in nature and undertaken for sovereign purposes (oversight and protection of the Dutch financial market) rather than commercial; therefore the s.5 commercial activity exception did not apply and the defendants were immune under the State Immunity Act; appeal dismissed.
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The appellant failed to discharge the evidentiary burden to show the Republic engaged in commercial activity that related to the proceedings; the motion judge's factual findings that the Republic's activities were sovereign/shareholder oversight and did not intrude into management were supported by uncontradicted affidavit evidence and entitled to deference, so sovereign immunity applied and the appeal is dismissed.
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The Federal Court struck the defendants’ third party claim for want of jurisdiction and said the state third parties were immune under the State Immunity Act.
The court granted stays where the parties had binding forum selection clauses or where Ontario lacked a real and substantial connection: the 1990 contract forum clause in favour of Iran was enforceable (plaintiffs did not show strong cause) and thus the action against NIOC including related tort claims was stayed; the 1996 NIDC contract dispute lacked a real and substantial connection to Ontario and was stayed; the 1998 PWC/NIDC contract contained a valid forum selection clause attorning to Ontario and that portion of the action may proceed in Ontario.
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The Federal Court set aside seizure of a vessel owned by the Shipping Corporation of India Ltd., holding it was a separate legal entity from the Union of India.
The Federal Court upheld registration of the foreign arbitral award and held that the seizure of the Antonov aircraft was valid against assets of the State of Ukraine.
The Federal Court set aside an ex parte seizure and garnishment order against Cubana de Aviacion S.A., finding Roxford had not shown Cubana was Cuba’s alter ego.
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