Owners’ Liability Triggered by Consent to Possession Rather Than Consent to the Operation of the Vehicle

Author(s): Stacey L. Stevens, L. Craig Brown

November 1, 2015

In a rare move the Ontario Court of Appeal overturned its previous decision in the 1955 case of Newman v. Terdik firmly closing the door on an automobile insurer’s ability to deny liability coverage to its insured when a negligent driver operates their vehicle in a manner prohibited by the owner.

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