Contribution after Settlement under the Negligence Act

Overview

In court proceedings in British Columbia with multiple tortfeasors, the Negligence Act defines how the cost of damages must be divided in accordance with each tortfeasor's proportional liability. The act also sets out a scheme for the parties' right of contribution where they are found to be jointly and severally liable. However, if one of the tortfeasors previously settled their liability with the plaintiff, they may still be required to make a contribution or indemnify the other, following a court proceeding between the plaintiff and the other defendant. Consequently, this disconnect potentially undermines the incentive to settle in multi-party disputes.

In this project, the British Columbia Law Institute will identify and analyze the current common-law trends in managing the parties' interests in these complex legal situations. It will consider options for reform, publish a Consultation Paper with tentative recommendations, consult broadly with the public, and produce a final report with final recommendations and draft legislation.