GEOPETROL INTERNATIONAL LTD v ALLIANZ INSURANCE COMPANY OF CANADA, 2012 ABQB 613

MASTER SMART

15.4: Dismissal for long delay: bridging provision

Case Summary

Allianz Insurance sought to have the Action dismissed for long delay. The Respondent, Geopetrol International, argued that a course of conduct leading to a signed Consent Order regarding the filing of an Amended Amended Statement of Claim significantly advanced the Action and, additionally, amounted to a Standstill Agreement.

The Consent Order was never entered, and the Amended Amended Statement of Claim was never filed and served. Under the circumstances, the Court held the Action was not significantly advanced and granted the Summary Dismissal Application. In relation to the argument regarding the existence of a Standstill Agreement, the Court held that although Bugg v Beau Canada Exploration Ltd, 2006 ABCA 201, opens the door to find a Standstill Agreement by implication, “it does not require express negativing in every communication to avoid such a consequence”. The Court held that there was no Standstill Agreement.

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