Due to a recent decision by the Financial Services Commission of Ontario, some indemnity contracts are no longer available.
Nudorra Capital is promoting the use of ATE Insurance products through a strategic relationship we have with an Insurance Broker. The overwhelming advantages of costs, security, and protection, for both lawyer and plaintiff, speak for themselves.
THE BOTTOM LINE: Insurance companies are licensed and regulated, their capital is protected, and they have decades of global experience. The Insurance product gives you Delegated Authority. And courts in Ontario are finding After-The-Event (“ATE”) insurance is a strong weapon against Security for Costs.
Two recent Ontario cases show the additional security arising from ATE Insurance:
- In the case of Brent Grotz v. 1392275 Ontario Inc. o/a Hilton Garden Inn Toronto/Markham et al the plaintiff’s lawyer was able to use ATE Insurance to defeat a Security for Costs motion.
- In the case of Alary v. Brown, 2015 ONSC 3021, the Ontario court found the Indemnity product to be weaker than Insurance and thus not able to defeat a Security for Costs order.
Globally, ATE insurance is a mature mainstream product, developed primarily in the United Kingdom where it is now mandatory. Recovery of ATE insurance premiums as disbursement was proven in Callery v Gray