Case Overview:
Paramount Resources Ltd. sued Chubb Insurance and others, seeking coverage under pollution liability insurance for a 2016 pipeline release. The main issue was whether the release was “detected by any person” within the policy’s 720-hour (30-day) window.

Key Facts:

• The release began on April 21, 2016.
• Data anomalies were observed by ConocoPhillips (the operator) on April 30, 2016, but were attributed to equipment errors.
• Hydrocarbon contamination was visually confirmed on June 9, 2016.
• Paramount settled a related arbitration for $11 million and sought indemnity from its insurers.

Policy Terms:

• Coverage required that a "Pollution Incident" be “detected” within 720 hours and reported within 2160 hours.
• Insurers argued "detected" required subjective awareness, while Paramount argued it included objective indicators.

Trial Decision:
The trial judge interpreted “detected” to mean awareness of credible information suggesting a release (objective test). They found the release was detected by April 30, 2016, within the coverage window.

Appeal Decision:
The Alberta Court of Appeal reversed the decision, ruling that:

• “Detected by any person” required subjective awareness of a release, not just anomalies.
• The release was detected on June 9, 2016, outside the policy’s time limit.
• The trial judge improperly incorporated regulatory standards not part of the contract.

Outcome:
The appeal was allowed, and coverage was denied to Paramount. No monetary award was granted.