Licence Issuers - Sotos Class Actions

Licence Issuers

February 19, 2016: The judge released the trial decision today. The judge found that Ontario did not breach any duties owed to the class and dismissed the action. The plaintiff is reviewing the decision and is considering its options.

This lawsuit alleges that the Province of Ontario has breached its obligation to pay its private issuers fairly and reasonably according to its contractual obligations. The Statement of Claim also seeks recovery for unjust enrichment if it is found that Ontario has benefited from the work of issuers without adequately compensating them.

The action was launched on October 23, 2009, and the certification motion was heard on June 18, 2010 in the Ontario Superior Court of Justice. On June 30, 2010 the Court released its decision certifying the Licence Issuers as a class. Leave to appeal the decision to the Divisional Court was dismissed.

The case is currently proceeding towards trial on behalf of the class.

Mediation between the parties occurred August 6, 2014. However, no settlement was reached.

  • February 19, 2016: The judge released the trial decision today. The judge found that Ontario did not breach any duties owed to the class and dismissed the action. The plaintiff is reviewing the decision and is considering its options.
  • October 28, 2015: The common issues trial concluded on October 26, 2015.  The case is now under reserve by the trial judge.  A decision is not expected until April of next year.  The decision will be posted here once it is released.
  • September 17, 2015: The trial will be heard in Courtroom 5-0 at 330 University Ave beginning on Monday, September 28, 2015 at 10:00 a.m.
  • June 29, 2015: The motion for summary judgment brought by Ontario was dismissed on June 29, 2015.  Read the decision here.  The trial will begin on September 28, 2015.
  • June 15, 2015: A summary judgment motion will be heard at 10:00 a.m. on Monday, June 15, 2015 in court room 4 at Osgoode Hall, 130 Queen Street West, Toronto.
  • March 9, 2015: A motion for summary judgment will be heard on June 15 and 16, 2015. The motion is brought by the defendant to dismiss the action before trial. If the motion is not granted, trial will begin in the week of September 28, 2015.
  • October 16, 2014:The trial of this action was scheduled for October 2014. As a result of a scheduling conflict resulting from the extension of another trial in which we are currently involved, the trial in this action had to be adjourned. The new commencement date is September 28, 2015.The parties will also be attending before the class proceedings judge on October 24, 2014 to discuss the scheduling of summary judgment motions which may have an impact on trial scheduling. A further update will be posted after the October 24 meeting.
  • September 10, 2012: The trial of this action has been scheduled to commence on October 14, 2014. A pre-trial conference will take place on June 10, 2014. A pre-trial conference is an informal meeting with a judge before trial. The meeting is attended by lawyers for the parties and a representative of both the plaintiff and defendant. At the pre-trial conference, the judge encourages the parties to settle the action or, if settlement is not possible, to narrow the issues for the trial.
  • June 30, 2010: The Court released its decision certifying the Licence Issuers as a class. Leave to appeal the decision to the Divisional Court was dismissed.

David Sterns

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Have questions about this case?

What is a class action?

A class action is a special form of lawsuit in which one plaintiff brings a claim against one or more defendants based on allegations which are common to a group, or class, of people. In order for the action to become a class action, it must proceed through a stage known as “certification”.

Who brings a class action lawsuit forward?

A statement of claim is issued on behalf of a “representative plaintiff”. The representative plaintiff’s role is to work with class counsel to bring the action forward and to represent the class members in court.

What is certification?

In order for an action to proceed on behalf of the entire class, a judge must decide (among other things) whether the members of the proposed class have common issues, and whether a class action is the preferred way to resolve the issues. The process to decide these issues is known as the “certification motion”. If the judge is satisfied that the case meets all of the requirements for certification, he or she will issue an order which certifies the action as a class action.

Do I have to do anything to “join” the lawsuit?

No. If the lawsuit is certified, and you are included in the class as defined, you are automatically included in the lawsuit.

Once I am part of the class do I have to do anything?

No. We will work primarily with the class representative.

What if I do not want to be included in the lawsuit?

Those who do not wish to remain in the class will be given the option to opt-out by sending an opt-out form at the appropriate time to us.

What are the benefits of proceeding as a class action?

Certification as a class action will enable us to prove the facts in a single lawsuit rather than in numerous individual lawsuits. This has obvious benefits to the class members and to the courts.

How long does it take for a class action to be resolved?

There is no timeframe. We will move the case forward diligently but it can take a considerable period of time to reach trial.

Can a class action lawsuit be settled without going to trial?

Many class actions settle and thereby remove the need for a trial. However, we cannot predict with any certainty whether or not there will be a settlement in a given action.

What are the chances of winning the action?

The chances of “winning” can never be accurately predicted.

Will be liable for any costs or legal fees?

Class action lawsuits are typically brought on a contingency fee basis. This means that the lawyers will only be paid if the action is successful at trial or results in a settlement in favour of the plaintiffs. Legal fees would then be paid out of the settlement or judgment proceeds as approved by a judge.

Disbursements (i.e. out-of-pocket expenses, including expert reports) may be dealt with in one of two ways.

Most commonly, the lawyers will absorb the cost of disbursements. The lawyers may seek funding assistance from the Class Proceeding Fund, which may provide funding for disbursements if granted.

In some cases, disbursements may be funded by the class members, including the class representative. This typically occurs in smaller class actions brought on behalf of an organization or network of individuals where each member of the class is easily identifiable and known to the representative plaintiff. If the class action is successful, amounts advanced for disbursements are re-paid from the proceeds of any judgment or settlement to class members (and others).

Will I be liable for costs of the action if it is unsuccessful?

Only the class representative may be liable for costs of the common issues portion of the action if it is unsuccessful.

When can I expect to receive a payout from this class action?

A “payout” or an award for damages is never certain.

The action may settle or it may proceed to trial, at which time a judge will determine the amount of damages, if any, to which the class members are entitled to. Regardless, the amount of “payout” cannot be predicted, and we cannot predict when the action may settle or when the trial will conclude.

How will counsel keep me updated on the progress of the case?

If the lawsuit is certified as a class action, you will receive a formal notice from the court explaining the nature of the case and providing you with the opportunity to opt out if you wish. General information about the lawsuit will be posted on Sotos LLP’s website at

Where can I send any documents that I have that may be relevant to a class action?

We ask that you keep a copy of any documents, correspondences, records, invoices, receipts, etc. that you feel might be relevant to your individual claim in the class action. If there is a “payout,” this documentation may be required in order to support your claim for compensation.

It is not required that you send any documents to us at this time.