Momentous.ca Corp. et al. v. Canadian American Association of Professional Baseball Ltd. et al. 2012 SCC 9
Conflict of Laws - Contracts - Jurisdiction - Choice of forum by parties
Rapidz Baseball fielded a team in the Can-Am League during the 2008 season. It played its home games in a stadium owned by the City of Ottawa. However, because of losses it had incurred during the season, Rapidz Baseball gave the League notice that it would be unable to operate beyond 2008. It applied under the League’s bylaws to withdraw voluntarily because of financial hardship. The League’s Board of Directors rejected Rapidz Baseball’s application. Instead, they terminated its membership and drew down a $200,000 letter of credit Rapidz Baseball had been required to post under the bylaws. Rapidz Baseball and its related companies (the plaintiffs) sued the League and its principals (the Can-Am defendants), and the City of Ottawa, both in contract and tort. The Can-Am defendants moved under rule 21.01(3)(a) of the Rules of Civil Procedure to stay or dismiss the action on the ground that the Ontario Court had no jurisdiction over the subject matter of the action.
The Ontario Superior Court granted the motion and dismissed the plaintiffs’ action. The plaintiffs appealed.
The Ontario Court of Appeal, in a decision reported at 270 O.A.C. 36, dismissed the appeal. The plaintiffs appealed.
The Supreme Court of Canada dismissed the appeal.