Cannon v. Funds for Canada Foundation, 2013 ONSC 7686
In this class action decision Justice Belobaba of the Ontario Superior Court of Justice set out new, generous guidelines for assessing contingency fee requests by class counsel in the context of a settlement of an action. Courts have adopted different methods for assessing whether contingency agreements should approved including the “lodestar” approach, the “multiplier” approach, combinations thereof and attempts to fix a notional “cap” on the percentage of a settlement amount. As a consequence, costs awards have been determined on an ad hoc basis leading to inconsistent results.
Justice Belobaba conducts a quick review of this sometimes tortured process and concludes that a single, simple, straightforward approach to contingency fee agreements should be adopted. … Continue Reading