Legal news and trends for Canadian in-house counsel and c-suite executives
Issue link: https://digital.canadianlawyermag.com/i/1210425
26 www.canadianlawyermag.com/inhouse TOP INSURANCE DEFENCE BOUTIQUES INSURANCE COMPANIES and their law firm partners in Ontario are preparing for the impact of amendments to Rule 76 of the Rules of Civil Procedure, which came into effect on Jan. 1. The new amendments include an increase in the ceiling for the use of the simplified procedure to $200,000 from $100,000 and a declaration that jury trials will no longer be permitted in Rule 76 action. The rule was initially introduced to simplify processes for actions of relatively low financial value that exceed the jurisdiction of Small Claims Court. Lawyers hope that the latest modifications will further reduce the cost of litigating claims. "This is probably one of the most significant changes we've seen in 20 years," says Richard Hepner, a partner at Dutton Brock LLP. "There is a lot of belief that it will change how files are handled, and it may drive more litigation by virtue of its efficiencies. The process will be more streamlined so it should be a driver for business," he adds. The fact that juries will no longer be used in such cases is a positive change, in Hepner's opinion, as it may encourage plaintiffs to file claims under the simplified procedure and result in an increase in caseloads. Eric Grossman, a founding partner at boutique firm Zarek Taylor Grossman Hanrahan LLP, says of the amendment: "Anything new brings with it challenges and uncertainty into how it will be enforced and applied and how creative counsel will use it to their advantage, so we don't have concerns per se, but we are curious to see how it will play out." Like many insurance companies, Aviva Canada is preparing for the changes to the legislation. "Whether there will be an uptick in volume is still unknown, but we intend to continue handling our files in the same principled approach and treating every case on its merits," says Lianne Furlong, vice president, legal claims at Aviva Canada and chief litigation counsel at Aviva Trial Lawyers. "We will continue trying to provide the best defence and then wait to see how the changes affect us." Aviva has been working with ZTGH since 2015, and Furlong greatly values the service the firm provides. "ZTGH is a firm filled with highly compe- tent, skilled lawyers with expertise in the area not only to handle our litigation but to help us develop our approach to litigation generally, and we work together on each and every file so we are making the right calls and doing the right thing for our customers," she says. Grossman says the firm's specialization in insurance work allows his team to provide services at a lower cost than some of its competitors. "Sometimes, we are able to provide services beyond just pure litigation such as trou- ble-shooting and training and educating and allowing our clients to be more proactive in their file handling," he says. Aviva works with partner firms of varied sizes that have a footprint in different jurisdictions. "This gives us the flexibility to pick the right firm for each case and to have the best Preparing for change: Top 10 Insurance Defence Boutiques Changes to simplified procedure in Ontario may drive litigation claims through a more efficient system