Core Issue:

• Whether Intact Insurance Company must defend Duff in three underlying actions related to a fire allegedly caused by his repair activities using a truck insured by Intact.

Background:

• On December 28, 2019, a fire destroyed a property in Lindsay, Ontario. It is alleged that the fire started in Duff’s garage while he was repairing a forklift using a GMC Sierra truck insured by Intact.
• Three lawsuits claim damages for negligence related to the fire.

Insurance Coverage:

• Definity Insurance (Economical): Provided commercial general liability insurance to Duff and is defending him.
• Intact Insurance: Insured the GMC Sierra truck but refused coverage, arguing Duff was using the truck as a tool, not as a motorist.

Court's Analysis:

• Duty to Defend: The court stated that the duty to defend is broader than the duty to indemnify. It examined if the facts could require Intact to indemnify Duff.
• Use or Operation of a Vehicle: The court found that using the truck to boost the forklift is a common and ordinary use of a motor vehicle.
• Causation: The court determined there was an unbroken chain of causation linking the use of the truck to the fire.

Decision:

• The court ruled that Intact Insurance has a duty to defend Duff in the lawsuits and must share defense costs with Economical. Specific monetary amounts were not provided.