Key Facts:

• CPCS alleges overpayment of rent due to a recalculated rentable area by Lansdowne from 7,500 to 9,258 square feet and seeks recovery of excess rent.
• Lansdowne filed a third-party claim against Mr. Sheppard and SKS, alleging negligence in advising CPCS on the lease's measurement clause.

Legal Issues:

• Lansdowne's third-party claim sought contribution and indemnity from Mr. Sheppard and SKS under the Negligence Act.
• The third parties moved to strike the claim under Rule 21.01(1)(b) of Ontario’s Rules of Civil Procedure, arguing it disclosed no reasonable cause of action.

Court Analysis:

1. Legal Principles:

   • A third-party claim must disclose a reasonable cause of action.
   • Under the Negligence Act, contribution and indemnity claims are valid if the third party owed a duty of care to the plaintiff, even if no direct duty exists between the defendant and the third party.
   • Negligence attributable solely to the plaintiff negates such claims.

2. Arguments:

   • Third Parties: Asserted no independent cause of action against them and claimed that solicitor negligence was time-barred.
   • Lansdowne: Maintained that negligent advice by Mr. Sheppard and SKS, not attributable to CPCS, supported the claim.

3. Court’s Findings:

   • Allegations of negligence by Mr. Sheppard and SKS could ground a valid claim for contribution and indemnity.
   • Time limitations did not bar such claims under the Negligence Act (Hengeveld v. The Personal Insurance Company applied).

Decision:

• Motion to strike was dismissed.
• Costs of $7,189.20 awarded to Lansdowne.