Can a solicitor be held to a settlement agreement?
Ontario, Canada
The following excerpt is from Capital Gains Income Streams Corporation v. Merrill Lynch Canada Inc., 2007 ONCA 497 (CanLII):
Fusarelli v. Dube, supra, was a case in which it was argued that the solicitor for one party had agreed to settle the action for a certain amount. The other party moved for judgment in the terms of the settlement. On the motion, there were two questions: (1) had the solicitor agreed to settle the action? and (2) if so, should his clients be held to that agreement? The motion judge appears to have decided both issues against the party moving for judgment. In respect to whether an agreement had been reached, the motion judge said: "The e-mail letter lacked the substance of finality and to my mind, it did not constitute a binding agreement."
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