In the W.K. Const. case Seaton J.A. notes (at p. 4) that the decision of the court in Pound v. Drake Ins. Co. had suggested a distinction for the purpose of privilege between reports prepared at “the adjusting stage” and at “the litigation stage”, but observes that even at the former stage reports might be prepared for the purpose of anticipated litigation and, if so, could attract privilege. Lambert J.A. says (at p. 6) that the Pound case “only establishes that where there are no lawyers involved and where there is no clear evidence of a true contest, then the privilege is not available”. The court found it unnecessary to decide whether, how or where a line should be drawn between these stages.
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