The parties agreed that, on the facts of this case, the issue turned on the application of the third criterion in Holt v. Telford, 1987 CanLII 18 (SCC), [1987] 2 S.C.R. 193 at 212. That criterion requires that the “cross-claim must be so clearly connected with the demand of the plaintiff that it would be manifestly unjust to allow the plaintiff to enforce payment without taking into consideration the cross-claim.”
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