MAXIM POWER CORP v ACE INA INSURANCE, 2016 ABQB 539

HALL J

1.2: Purpose and intention of these rules
1.4: Procedural orders

Case Summary

The Applicant insurance company and the Respondent power corporation were parties to an insurance contract which insured the Respondent’s directors and officers. The Respondent sought damages for expenses that the Applicant insurer had failed to reimburse. The Applicant sought a Stay of the Action pending a determination of a related matter before an American Court. Justice Hall considered the Applicant’s argument that Rule 1.4(h) provides that a Court has authority to adjourn or stay all or any part of an Action, Application or proceeding in order to advance the purpose and objectives of the Rules as laid out in Rule 1.2.

Hall J. determined that granting the Stay would cause an injustice to the Respondent who was entitled to timely reimbursement of expenses incurred under the insurance contract, and that by not paying in a timely manner, the Applicant was in breach of the insurance contract. The Application for the Stay was dismissed.

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