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What Must the Court Consider in Allowing an Adjournment?

March 16, 2016

Turbo Logistics Canada Inc. v. HSBC Bank Canada, 2016 ONCA 222

In 2016, a case came before the Ontario Court of Appeal, which had an unexpected turn of events. 

Turbo Logistics Canada Inc. initiated a lawsuit with HSBC Bank of Canada, seeking to be found not liable for their guarantees. However, HSBC counterclaimed, resulting in the plaintiffs attempting to settle out of court. This offer was denied. 

The plaintiff's civil litigation lawyer, upon informing them of the costs associated with proceeding to trial, worked to get off their case once it became clear that they were unwilling to pay. Shortly before the start of the trial, the plaintiffs notified the court that they would not be moving forward with their claim and, on the day of the trial, asked to adjourn in order to allow them time to find a new civil litigation lawyer. This was not permitted, the bank's counterclaim was allowed to proceed, and Turbo Logistics was found liable and guilty of fraud and ordered to pay $10.3 million.

The company and their civil fraud lawyer appealed, with the Ontario Court of Appeal dismissing the motion. 

Why Wasn't an Adjournment Allowed for this Civil Fraud Case? 

The court had a number of factors to consider in determining whether or not to allow an adjournment. It relied on a previous case, Ariston Realty Corp. Elcarim Inc. 2007, for its test. 
Essentially, the court must consider the public interest in the trial, whether or not the adjournment will affect the ability of the prosecution or defence, and whether there are "competing interests of the parties in advancing or delaying the progress of the litigation," among others. The trial judge found that delaying the trial would prejudice against HSBC and so did not permit the adjournment. 

What is an Adjournment?

An adjournment is a request to delay or reschedule court proceedings for a number of reasons. In this case, Turbo Logistics requested an adjournment to find a new civil litigation lawyer. The purpose of an adjournment can be anything from allotting time to get new evidence or to allot more time to prepare. 

How to Find the Best Civil Lawyer for Fraud Cases

When you enter into a civil fraud dispute, it's best to start off with a well-equipped and experienced civil litigation lawyer. Whether you're the defence or the plaintiff, fraud is a delicate situation and requires the expertise and strategy of a seasoned civil fraud lawyer. At Karrass Law, our legal team is well-versed in civil and criminal fraud, allowing us to navigate the needs of your case strategically and effectively. For legal advice and to learn about how we can represent you, book a complimentary legal consultation. 

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