Legally Briefed (Canada)
PublicCurated updates on recent Canadian court decisions, legal developments, and analysis from major legal databases for law firms and students.
Supreme Court hears Bill 21; appeal rulings on fraud, easements, getaway driver
Tuesday, Jul 14, 2026
This week's developments center on landmark appellate and Supreme Court rulings that test the boundaries of constitutional jurisdiction, procedural fairness, and public participation.
The Supreme Court's Bill 21 hearing challenges Quebec's authority over religious symbols, while Ontario's Appeal Court reinforces strict litigation timelines and property rights, even as a federal report shows the Jordan ruling has unintentionally worsened sexual-assault case delays.
Together, the stories reveal a judiciary grappling with tensions between legislative intent, access to justice, and the practical limits of court systems.
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Geography: Canada, Ontario, British Columbia
1. Ontario Court of Appeal upholds denial of insurers' civil fraud defence amendment
The Ontario Court of Appeal has dismissed an appeal by two insurance companies seeking to add a civil fraud defence to their pleadings in a $2 million damages suit under s. 132(1) of Ontario's Insurance Act.
The underlying case stems from a 2012 incident where a woman fell through an attic hole; the insureds later admitted to fabricating evidence during discovery.
The motion judge had denied the amendment in December 2025 due to non-compensable prejudice to the injured party.
The appeal court found no reversible error, ordered the insurers to pay $15,000 in costs, and noted that the insurers' existing pleadings already allow them to defend against the claims for indemnity and relief from forfeiture.
Key facts:
- Decision: Natario v. RBC Insurance Company of Canada, 2026 ONCA 482.
- Insurers sought to add civil fraud defence after insureds admitted fabricating evidence.
- Motion judge denied amendment in December 2025 citing non-compensable prejudice.
- Appeal court dismissed the appeal and ordered insurers to pay $15,000 in costs.
- Underlying claim: $2 million in damages for catastrophic injury from 2012 attic fall.
Why it matters: This ruling clarifies that insurers cannot belatedly add a civil fraud defence when doing so would cause non-compensable prejudice to the injured claimant, even if the insureds have lied.
The decision reinforces the finality of procedural rulings and limits insurers' ability to shift blame after years of litigation.
For plaintiffs and their counsel, the case signals that courts will protect the integrity of settlement and consent orders, while insurers must raise fraud allegations promptly or risk losing the defence entirely.
2. Supreme Court hears challenge to Quebec's Bill 21 religious symbols ban
In March, the Supreme Court of Canada heard four days of arguments on a challenge to Quebec's Bill 21, which prohibits public servants in authority—including teachers, police, and judges—from wearing religious symbols at work.
The Canadian Conference of Catholic Bishops intervened, arguing the law exceeds Quebec's jurisdiction by imposing an anti-religious ideology that effectively amends Canada's constitution.
Philip Horgan, representing the bishops, focused on Sections 91 and 92 of the 1867 Constitution Act, contending that no level of government has explicit jurisdiction over religion.
Over 50 interveners participated, making it one of the court's longest appellate hearings. A decision is pending.
Key facts:
- Bill 21 passed by Quebec National Assembly on June 16, 2019.
- Supreme Court hearing lasted four days in March 2025.
- Over 50 interveners participated in the case.
- Bishops argued Bill 21 imposes an anti-religious ideology beyond Quebec's jurisdiction.
- Philip Horgan argued Sections 91 and 92 don't specify jurisdiction over religion.
Why it matters: The ruling will clarify whether provincial laws invoking the notwithstanding clause can override fundamental rights like religious freedom, potentially reshaping the balance of power between provinces and the federal government.
A decision against Bill 21 could set a precedent limiting how other provinces use the override for divisive social policies.
3. Sexual-assault court delays rise 38% since Supreme Court's Jordan ruling
A June federal report from the Justice Department finds that the median time to conclude sexual-assault cases has risen to 453 days, a 38% increase since the Supreme Court's 2016 R. v.
Jordan decision. The Jordan ruling set strict 18-month timelines for provincial courts and 30 months for superior courts, but delays are growing due to underfunded provincial justice systems and more complex procedures, according to judges and Crown attorneys.
In Ontario, nearly half of all cases—48%—were withdrawn or stayed in 2023-24 because they risked exceeding Jordan deadlines.
Nationwide, about 10,000 criminal trial cases are thrown out annually for exceeding those timelines, including hundreds of alleged sexual assaults.
Chief Judge Ryan Rolston of Manitoba's provincial court notes a shortage of judges and longer trial lengths as key drivers of the backlog.
Key facts:
- Median sexual-assault case length hit 453 days in 2023-24, up 38% from 328 days in 2016.
- Ontario withdrew or stayed 48% of cases (6,402 proceedings) in 2023-24 due to deadline pressure.
- About 10,000 criminal trial cases are thrown out yearly for exceeding Jordan deadlines.
- There are roughly 10% fewer judges relative to Canada's population than 20 years ago.
- Chief Judge Ryan Rolston blames underfunding and more complex trials for growing delays.
Why it matters: The rising delays contradict the Jordan ruling's goal of speedy trials, causing additional trauma for complainants and longer pretrial detention for defendants.
Provincial justice systems lack sufficient judges, courtrooms, and technology to handle increasingly complex sexual-assault cases.
Without increased funding and judicial appointments, the gap between legal deadlines and court capacity will widen, potentially undermining public confidence in the justice system.
4. CanLII settles lawsuit with AI startup Caseway over data scraping
The Canadian Legal Information Institute (CanLII) has settled its lawsuit against legaltech startup Caseway, which is now registered in Vancouver and Dublin. Neither party disclosed the terms, and both said they will move forward “independently.
” CanLII had sued Caseway for “unjust enrichment,” alleging the startup used CanLII’s free public database of court rulings to train AI systems and distribute “derivative work” without permission.
CanLII, funded by lawyer dues through provincial law societies, has long championed open access. Caseway denied violating the terms of use.
The settlement avoids a court ruling on whether AI scraping of public legal databases constitutes copyright infringement.
Key facts:
- CanLII and Caseway settled their lawsuit on undisclosed terms.
- Caseway is now registered in Vancouver and Dublin, Ireland.
- CanLII alleged Caseway used its database for unjust enrichment via AI scraping.
- Caseway denied allegations that it violated CanLII's terms of use.
- CanLII is funded by lawyers’ dues to provincial and territorial law societies.
Why it matters: This settlement closes a specific dispute but leaves unresolved the broader question of how AI companies can access public legal databases. CanLII’s open-access model collides with the data demands of commercial AI tools, and future lawsuits are likely.
The outcome affects legal researchers, law societies that fund CanLII, and startups building AI for Canadian law, all of whom now lack a clear precedent on permissible use.
5. Ontario Appeal Court upholds easement deal and anti-gag ruling
The Ontario Court of Appeal has issued two significant rulings this year.
In one decision, the court upheld a historic agreement over a right-of-way easement for landlocked cottages in Caledon, resolving a dispute among shareholders of the Cressview Lakes Corporation.
In a separate case, the court affirmed a lower-court victory for Pierre Roy, an engineering student who opposed a Mississauga mall redevelopment, calling the developer's lawsuit a "quintessential gag suit aimed at curtailing public expression."
Both rulings reinforce legal protections for longstanding property rights and public participation in development debates.
The easement decision clarifies the scope of historic rights of way in cottage country, while the Roy ruling underscores limits on developers using litigation to silence critics.
Key facts:
- Ontario Court of Appeal upheld a historic easement agreement in Cressview Lakes, Caledon.
- The easement dispute involved landlocked cottages and a right-of-way among corporation shareholders.
- In a separate case, the court upheld a ruling in favour of Pierre Roy against Sheridan Retail Inc.
- A judge described the developer's lawsuit as a 'quintessential gag suit aimed at curtailing public expression.'
- Roy opposed the redevelopment of Sheridan Mall in Mississauga, including two 15-storey condos.
Why it matters: The easement decision provides certainty for owners of landlocked properties in Ontario's cottage country, reinforcing that historic agreements remain enforceable regardless of changes in ownership or land use.
The gag-suit ruling strengthens protections for citizens who speak out against developments, signaling that courts will not tolerate litigation intended to chill public participation.
Together, these cases clarify the balance between private property rights and public expression in land-use disputes.
6. Ontario Appeal Court upholds conviction of getaway driver in Cambridge cellphone heist
The Ontario Court of Appeal has dismissed a 25-year-old Mississauga woman's bid for a new trial, upholding her 28-month prison sentence for robbery. She drove the getaway car during a February 2022 Cambridge cellphone store heist.
The robbers initially entered a Scotiabank branch but abandoned that plan, instead hitting a Freedom Mobile store 20 minutes later.
Police tracked a stolen cellphone and security footage to link the woman's vehicle to the crime, finding firearms and the robbers' clothing in her trunk.
Key facts:
- Ontario Court of Appeal dismissed the woman's appeal on a robbery conviction.
- Three masked males entered a Scotiabank on Feb. 24, 2022, then changed targets.
- The robbers stole cellphones from Freedom Mobile in Cambridge.
- The woman was sentenced to 28 months in prison as the getaway driver.
- Police found firearms in the getaway car and robbers' clothing in her trunk.
Why it matters: This ruling reinforces that accessory liability for robbery extends to drivers who knowingly participate in the planning and execution of a crime, even if the target changes mid-event.
The court's reasoning—linking pre-robbery cellphone searches, post-robbery drop-offs, and possession of stolen goods—sets a precedent that circumstantial evidence can conclusively prove a getaway driver's intent, narrowing future appeal arguments in similar Ontario cases.
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