Background:

• BN Trading, a Canadian importer/exporter, purchased mining equipment from MC Mines (Quebec-based) and contracted Best International Cargo Inc. to transport it to Vietnam.
• Best International hired GT Intermodal (Quebec-based) to transport the equipment from MC Mines’ facility to the Port of Montreal.
• On October 26, 2022, the truck carrying the equipment was involved in an accident in Quebec, causing significant damage.
• BN Trading sued Best International for damages. Best International filed third-party claims against MC Mines and GT Intermodal.
• MC Mines sought to dismiss the third-party claim, arguing improper service and lack of jurisdiction in Ontario.

Key Issues & Rulings:

1. Service of the Claim

   • MC Mines argued that service outside Ontario required court approval since the claim was based on tort, not contract.
   • The court found that the claim had a contractual basis and/or MC Mines was carrying on business in Ontario.
   • Service was upheld under Rule 17 of Ontario’s Rules of Civil Procedure.

2. Jurisdiction & Forum Non Conveniens

   • Applying Van Breda (2012 SCC 17), the court found a sufficient connection because the main contract (BN Trading & Best International) was formed in Ontario.
   • MC Mines did not carry on business in Ontario, but the dispute was sufficiently linked to an Ontario contract.
   • Forum non conveniens analysis weighed factors, including witness location (favoring Quebec) and avoidance of multiple proceedings (favoring Ontario).
   • The court ruled that Ontario was not an inappropriate forum and dismissed MC Mines’ motion.

Conclusion:

• The third-party claim remains in Ontario.
• MC Mines must file its defense within 30 days.
• Costs submissions are due within 14 days; otherwise, no order for costs.