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T-855-75
Wilma McGregor and Ralph McGregor (Plaintiffs)
v.
The Queen, The Calgary Flying Club, the Town of High River, Robert Hurman and John Hiebert (Defendants)
Trial Division, Addy J.—Calgary, November 8, 1976; Ottawa, March 23, 1977.
Jurisdiction — Application by second and third named defendants to dismiss action — Whether statement of claim discloses reasonable cause of action against them — Whether Court has jurisdiction — Crown claim for indemnity against defendants — Criteria for dismissing action previous to trial — Aeronautics Act, R.S.C. 1970, c. A-3, ss. 3 and 6 — Air
Regulations 102, 104, 300, 305, 515, 516 and 529 Federal Court Act, R.S.C. 1970 (2nd Supp.), c. 10, s. 23.
The Calgary Flying Club and the Town of High River applied to be dismissed from this action on the grounds that the statement of claim discloses no reasonable cause of action against them and that the Federal Court has no jurisdiction to hear an action between them and the plaintiffs. The plaintiffs claim that the Aeronautics Act and Air Regulations create statutory duties giving rise to a cause of action. The Crown is claiming indemnity over against the Club and the Town on the basis of negligence.
Held, the action against the Club and the Town is dismissed. Although the statement of claim discloses a cause of action in negligence, the only section of the Federal Court Act on which jurisdiction in this case might be founded is section 23 and none of the pertinent provisions of the Aeronautics Act or the Air Regulations can be construed as part of a scheme to create rights enforceable between subjects in any court of law. The Court will only dismiss an action before trial after having weighed the relative advantages in terms of avoiding any further useless expenditure of time and money against the possibility of a successful appeal. The Crown is claiming indemnity from the Club and the Town and would not have the right to sue therefor by a separate action in the Federal Court since the action does not derive from federal law; consequently, since the test to apply in deciding whether the Court has jurisdiction is to see whether it would have jurisdiction if the claim against a particular defendant would stand alone and since the Crown has no right to sue the Club or the Town in the Federal Court, there is no validity to the claim that it would be more convenient and less costly to sue the Club and the Town in the Federal Court.
Anglophoto Limited v. The "Ikaros" [1973] F.C. 483; Canadian Fur Co. (NA) Ltd. v. KLM Royal Dutch Air lines [1974] 2 F.C. 944; Orpen v. Roberts [1925] S.C.R.
364; Canadian Pacific Ltd. v. Quebec North Shore Paper Company (1976) 9 N.R. 471 (S.C.C.) and McNamara Construction (Western) Limited v. The Queen (1977) 13 N.R. 181 (S.C.C.), applied.
APPLICATION to dismiss action. COUNSEL:
L. M. Sali for plaintiffs.
R. N. Dunne for defendant The Queen.
N. C. Wittmann for defendant the Town of
High River.
W. B. Woods for defendant Calgary Flying
Club.
SOLICITORS:
McLaws & Company, Calgary, for plaintiffs.
Deputy Attorney General of Canada for defendant The Queen.
Code Hunter, Calgary, for defendant the Town of High River.
Woods, Homme, Baker, Petch & Shea, Cal-
gary, for defendant Calgary Flying Club.
The following are the reasons for order ren dered in English by
ADDY J.: The plaintiffs instituted an action in tort against the defendants for damages allegedly sustained by the female plaintiff while riding a horse near the end of the runway of the High River Airport. The claim alleges that while she was attending a fair and a race meet on the lands of the airport, the horse was frightened and bolted, throwing her to the ground and thereby causing her injuries, and that the occurrence was the result of the negligent operation of an aircraft owned in whole or in part by the defendant The Calgary Flying Club (hereinafter referred to as "The Flying Club") and piloted by the defendant Hieb- ert as its employee or, alternatively, with its full knowledge and consent.
The Town of High River (hereinafter referred to as "The Town") is sued as the owner and occupier of the lands constituting the airport as well as for allowing the lands to be used simultaneously as an airport and for a fair and race meet, and for
alleged breach of a warranty that the lands would be safe. Numerous other acts of negligence and several omissions constituting negligence are alleged against all of the Defendants as well as breaches of the Air Regulations, 1960 1 and of the Aeronautics Act e .
The Flying Club and The Town have applied to this Court for an order dismissing the action against them on the grounds that the statement of claim discloses no reasonable cause of action against them and on the further ground that this Court has no jurisdiction to entertain the action as between them and the plaintiffs.
As to the first ground I have no difficulty in coming to the conclusion that the statement of claim does disclose a cause of action. There are numerous allegations of negligence which, if proven, would found an action. Before dismissing the action at this stage of the proceedings, one must of course assume that all of the allegations of fact would eventually be established at trial.
The second ground of attack appears to be a much weightier one and merits full consideration.
The applicable test in deciding whether this Court has jurisdiction to deal with a claim between subject and subject has recently been dealt with by my brother Collier J. in Anglophoto Limited v. The "Ikaros" 3 at page 498:
I suggest a proper test to apply in approaching the question of jurisdiction is to see whether this Court would have jurisdic tion if the claim advanced against one particular defendant stood alone and were not joined in an action against other defendants over whom there properly was jurisdiction.
The allegation contained in the statement of claim that the defendant Hiebert is a servant of The Flying Club, followed by an alternative plead ing that he is a servant of the Crown, cannot in my view, by any stretch of the imagination, constitute The Flying Club a servant of the Crown.
The only section of the Federal Court Act 4 on which the jurisdiction in the case at bar might be
' SOR/61-10.
2 R.S.C. 1970, c. A-3.
3 [1973] F.C. 483.
4 R.S.C. 1970 (2nd Supp.), c. 10.
founded is section 23 which gives to this Court concurrent original jurisdiction between subject and subject where "a claim for relief is made or a remedy is sought under an Act of the Parliament of Canada or otherwise in relation to any matter coming within any following class of subjects ... aeronautics ...."
I dealt with the meaning of the word "aeronau- tics" in the case of Canadian Fur Co. (NA) Ltd. v. KLM Royal Dutch Airlines 5 at page 951:
Aeronautics, as used in this section, certainly includes the control and regulation of air navigation over Canada, the regulation and control of aerodromes and air stations as well as the investigation of air accidents, such as used in the Aeronau tics Act (R.S.C. 1970, c. A-3).
I am not aware of any other decision rendered on the subject since that time which might per suade me to change my view as to the meaning of that word as used in section 23.
The only Act of Parliament on which jurisdic tion in this area can be founded is the Aeronautics Act. There are no specific provisions in either the Aeronautics Act or in the Air Regulations issued pursuant thereto for the establishing of any claim for any relief, remedy or on which any right of recovery as between subject and subject might be founded. The Act provides only for licensing, con trol, security and powers of inquiry and also estab lishes penalties for breach of Regulations.
Counsel for the plaintiffs argues that by virtue of that Act and of the Air Regulations there are statutory duties created to refrain from operating an aircraft in a negligent manner or from creating any undue hazard to persons or property on the ground. He argues further that the creation of a statutory duty gives rise to a cause of action and that it is not necessary for the legislation to pro vide specifically for the existence of a remedy or right of recovery. He relies for that proposition on the following paragraph in Henzel v. Brussels Motors Ltd. 6 at page 345:
5 [1974] 2 F.C. 944.
6 [1973] 1 O.R. 339.
If the statute imposes a duty for the protection of particular citizens or of a particular class of citizen, it prima fade creates at the same time a correlative right vested in those citizens and prima facie, therefore, they will have a remedy for the enforce ment of that right, namely, an action for damages in respect to any loss occasioned by the violation of it. The law of England is replete with situations where breaches of statutory duties give rise to actions being brought by those in a special group of persons intended to be affected; for example, workers under the Factories Act, and miners under the Mines and Quarries Act. In these instances, the Court has, in the main, held for absolute liability in favour of such workers as a particular class or classes of persons intended to be protected under the relevant Act. This liability has been found notwithstanding that there is a penalty section in the various acts by which the employer may be prosecuted for failure to take certain safety precautions.
The sections of the Aeronautics Act on which he relies are sections 3 and 6. As to section 3 of the Act, this section deals with the duties of the Minis ter and cannot, in my view, create a right of action and does not impose any statutory duty on any body other than the Minister.
As to section 6, which contains many lengthy provisions, counsel for the plaintiffs has neither in his pleadings, nor in his written argument, pointed out the specific provisions of that section on which he relies or how any part of that section might apply to the facts pleaded. The only provisions of that section which appear to me to be remotely pertinent are paragraphs (d) and (i) of subsection (1). They read as follows:
6. (1) Subject to the approval of the Governor in Council, the Minister may make regulations ... with respect to
(d) the conditions under which aircraft may be used or operated;
(i) the institution and enforcement of such laws, rules and regulations as may be deemed necessary for the safe and proper navigation of aircraft in Canada, including the terri torial sea of Canada and all waters on the landward side thereof, and of aircraft registered in Canada wherever such aircraft may be;
It is to be noted that the Act does not specifical ly, as between subject and subject, provide for the issuing of Regulations creating remedies or relief arising from the breach of any provisions of the Act or of the Regulations. I entertain grave doubts whether the Aeronautics Act as a whole or the Air
Regulations could in any way be construed a part of a scheme to create for the benefit of subjects, rights which might be enforceable between them selves by this Court or by any court of law. The principles relied upon in Orpen v. Roberts' and reiterated in Direct Lumber Company Limited v. Western Plywood Company Limited 8 would seem to apply. Be that as it may, as an argument may be made that the words "or otherwise" in the expres sion "under an Act of Parliament or otherwise" in the above-quoted abstract from section 23 of the Federal Court Act are taken to include any validly enacted regulation and, since a statutory duty may be created by regulation, the applicability of the Air Regulations is worthy of examination.
Counsel for the plaintiff relies on Regulations
102, 104, 300, 305, 515, 516 and 529.
As to Regulations 102, 104, 305 and 516, coun sel for the plaintiffs has only pleaded these gener ally in his statement of claim without referring in the pleadings or in his written argument as to how these Regulations might apply. I have read them and failed to find how they can create a statutory right of action between subject and subject or how they might have any bearing on the issue having regard to the allegations of negligence on the facts as pleaded.
Regulation 300 is pleaded as being applicable in so far as The Town is concerned. This Regulation prohibits land to be used as an airport unless it has been licensed as such. There is nothing creating a right of action between subject and subject for failure to obtain a licence and even if there were I fail to see how failure to obtain a licence would constitute a basis for claiming damages for person al injury.
There remain Regulations 515 and 529. Regula tion 515 reads as follows:
515. (1) No aircraft shall be operated in such a negligent or reckless manner as to endanger or be likely to endanger the life or property of any person.
(2) Subject to subsection (3), no person shall fly an aircraft in such a manner as to create a shock wave or sonic boom, the effect of which may imperil the safety of other aircraft, be injurious to persons or animals or cause damage to property.
7 [1925] S.C.R. 364 at 370.
8 [1962] S.C.R. 646.
(3) The Minister may make orders or directions with respect to the operation of aircraft in sonic or supersonic flight.
This Regulation imposes no duty on any pilot which is not imposed on him by the common law of torts.
Regulation 529 provides for certain minimum heights for the flying of aircraft over populated and other areas, except when taking off or landing and except as specifically authorized by the Minis ter. This might well create a statutory duty on the pilot for the breach of which The Flying Club might be liable if, as argued by counsel for the plaintiffs, such statutory duty does create a statu tory right of action in the plaintiffs against the pilot. However, I cannot accept this proposition as being of general application. The cases where statutory duties exist without corresponding rights of civil action between subject and subject are innumerable.
Before dismissing an action previous to trial on a motion of this nature, the Court must weigh the relative advantages of avoiding further costs and preventing a useless expenditure of time and effort occasioned by a trial, against the possibility of a successful appeal from the granting of the motion and dismissal of the action, resulting not only in a double set of costs but in a new trial should the trial have taken place in the meantime. In weigh ing these relative advantages and disadvantages, the judge hearing the motion should not grant the motion unless he is satisfied that an appeal against his order could not be successful.
As to recent jurisprudence on the matter, on one hand there is the recent case of Canadian Pacific Ltd. v. Quebec North Shore Paper Company 9 . The action in that case was one based on contract where the contract specifically made Quebec law applicable and was not a case based on tort. However, the language used and the reasoning on which the decision appears to be based would seem to lead to sweeping and far reaching conclusions as to the jurisdiction of this Court, which might have a considerable bearing on the principles applied in former cases such as the previous decision of my
9 (1976) 9 N.R. 471 (S.C.C.).
brother Mahoney J. in the case of Okanagan Helicopters Ltd. v. Canadian Pacific Limited'" Although the language used by the Supreme Court of Canada in the Quebec North Shore case (supra) might have been broader than was actual ly required to dispose of the appeal as it did, the more recent unanimous decision of the Supreme Court in the case of McNamara Construction (Western) Limited v. The Queen", in my view, leaves no doubt as to the all-encompassing manner in which that Court intends to apply the language of the Quebec North Shore case (supra).
The Crown, as a defendant in the present case, has served a notice of indemnity on both The Town and The Flying Club claiming indemnity over against them on the basis of negligence. Pre vious to the McNamara decision (supra) were the action dismissed as against the applicants at this stage, it might have been presumed that the Crown would in a separate action be claiming indemnity against the same defendants on the same grounds, and that, based on former jurisprudence, this Court would possess full jurisdiction to hear that action. It would thus be arguable that the appli cants in this motion would - be put to the trouble and expense of a trial in any event and nothing would be gained from the standpoint of costs. The McNamara case, however, reversing all former jurisprudence, lays down quite clearly that even where the Crown itself is a plaintiff it cannot sue in contract in the Federal Court merely because it is a plaintiff. The wording of that judgment does not purport to limit this principle to contract law. On the contrary, it extends the principle to all cases unless the right of the Crown is founded on existing federal law. As there is no existing federal law involved on which the action can be based, the Crown itself would not have the right to sue in this Court by separate action and the argument as to convenience and costs has no foundation.
For the above reasons I am granting the applica tion with costs and judgment will issue dismissing the action as against the applicants with costs.
10 [1974] 1 F.C. 465.
11 (1977) 13 N.R. 181 (S.C.C.).
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