What is the test for disqualifying a lawyer or law firm due to a conflict of interest?

Ontario, Canada


The following excerpt is from Royal Bank of Canada v. Nardangeli, 2004 CanLII 48891 (ON SC):

The case of MacDonald Estate v. Martin, 1990 CanLII 32 (SCC), 48 C.P.C. (2d) 113, sets out the test with respect to disqualifying a lawyer or law firm due to a conflict of interest. The test is that a reasonably informed member of the public must be satisfied that no use of confidential information would occur. In determining this issue, two questions must be answered: (a) Did the lawyer receive confidential information? and (b) Is there a risk that it will be used to the prejudice of the client?

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