What is a “new situation” for a defendant to withdraw an admission of liability for damages arising out of a motor vehicle accident?

Ontario, Canada


The following excerpt is from Farlinger v. Hood, 2006 CanLII 32321 (ON SC):

A “new situation” has been held by our court to constitute a reasonable explanation for the withdrawal of an admission. In Antipas v. Coroneos[4] Saunders J. permitted a defendant to withdraw an admission of liability for damages arising out of a motor vehicle accident where the plaintiff subsequently served an amended statement of claim increasing the damages claimed beyond the limit of the defendant’s insurer. Saunders J. described this as a “new situation”. He found that the decision not to dispute liability had been made in the context of a claim well within the policy limits.

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