Regulatory provision did not apply to settlements that occurred after court action was commenced

Insurance - Automobile Insurance - No-fault benefits

Applicant was injured in automobile accident and received some benefits until insurer terminated payment. Applicant commenced action which was settled. Applicant purported to rescind settlement notice. Arbitrator decided as preliminary issue whether arbitration should proceed, given that full and final release had been signed. Arbitrator concluded that, based on binding effect of two Court of Appeal decisions, applicable regulatory provision did not apply to settlements that occurred after court action had been commenced. Arbitrator's order that applicant's claim was barred was upheld on appeal by Director's Delegate. Application for judicial review was dismissed. Applicant appealed. Appeal dismissed. There was no error in decision of Divisional Court. Appropriate standard of review was applied to decision of Director's Delegate. Court of Appeal cases in question were dispositive of issues on this appeal.

Sidhu v. Aviva Canada Inc. (2019), 2019 CarswellOnt 8270, 2019 ONCA 444, Tulloch J.A., Benotto J.A., and Huscroft J.A. (Ont. C.A.); affirmed (2018), 2018 CarswellOnt 10577, 2018 ONSC 3710, Marrocco A.C.J.S.C., Harvison Young J., and Mew J. (Ont. Div. Ct.).

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