SUPREME COURT OF NOVA SCOTIA
Citation: Meridian Construction Inc. v. Royal & Sun Alliance Insurance Company, 2011 NSSC 177
Date: 20110510
Docket: Hfx. No. 336785
Registry: Halifax
Between:
Meridian Construction Inc. and Tribeca Mechanical Limited
Plaintiff
v.
Royal & Sun Alliance Insurance Company of Canada
Defendant
LIBRARY HEADING
Judge: The Honourable Justice Suzanne M. Hood
Heard: February 2, 2011 in Halifax, Nova Scotia
Written Decision: May 10, 2011
Subject: Insurer’s Duty to Defend.
Summary: Meridian Construction Inc. (“Meridian”) and Tribeca Mechanical Limited (“Tribeca”) were the general contractor and a subcontractor, respectively, on a construction project. They seek to have Royal & Sun Alliance Insurance Company of Canada (RSA) defend them in an action against them for damages. RSA says there is no duty to defend and asks the court for a declaration that there is no coverage. Meridian and Tribeca seek to have the RSA application stayed until a decision is made in the action for damages.
Issue: Duty to Defend
Result: There is a mere possibility that a claim under the policy might succeed; therefore, there is a duty to defend.
THIS INFORMATION SHEET DOES NOT FORM PART OF THE COURT'S DECISION. QUOTES MUST BE FROM THE DECISION, NOT THIS LIBRARY SHEET.