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Alberta

Chris Scott and Rebecca Ingram attempting Class Action Lawsuit against Province for COVID restrictions

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17 minute read

Could open the door for business owners across the province to seek damages for financial losses

News release regarding this class action lawsuit from Rath & Company

Rath & Company has launched a class action lawsuit against the Province of Alberta on behalf of business owners in Alberta who faced operational restrictions due to, now deemed illegal, Public Health Orders. This lawsuit follows the recent Ingram Decision by the Calgary Court of King’s Bench, which declared that all of Dr. Hinshaw’s Public Health Orders were ultra vires, in other words illegal or not lawfully enacted. The Ingram Decision has opened the door for affected business owners to seek damages for the financial losses incurred due to the restrictions imposed by these unlawful Public Health Orders.

The lawsuit names Rebecca Ingram and Chris Scott as representative plaintiffs who suffered significant financial harm due to Dr. Hinshaw’s Public Health Orders. On February 7, 2024, the parties attended their first case conference with Justice Feasby of the Court of King’s Bench of Alberta to establish the next steps. The lawyers for the Province of Alberta made it clear that they intend to oppose the class action certification. Premier Smith has yet to comment on the government opposition to compensate individual business owners impacted by Dr. Hinshaw’s unlawful Public Health Orders.

“This marks the first of many procedural and substantive steps. This is an important case about
government actions and overreach during a time when business owners were unlawfully mandated to close their businesses at moments notice. It will give Albertans the opportunity to hold the Alberta government accountable and seek fair compensation on behalf of the many businesses impacted by Deena Hinshaw’s many unlawful decisions,” said lead counsel Jeffrey Rath.

The class action represents all impacted Alberta business owners. If you have been adversely affected and wish to join this class action lawsuit, please register by completing the online form at Business Class Action – Rath&Company (rathandcompany.com). Should the Court grant permission for this action to proceed as a “Class Action” (also known as “Certification”), you may qualify as a class member whether or not you have registered.

“In what world is it fair for small business owners to bear the financial brunt for the benefit of the entire province? Our hope is that this lawsuit brings justice to the affected business owners who suffered significant hardship and losses without justification or consideration by the province’s harsh and unilateral actions,” Mr. Rath continued.

From Rath & Company

Business Class Action Update – October 1, 2021

The Certification Hearing scheduled with Justice Feasby will be available for online viewing. Below are the details you need to join the session:

Date and Time:

  • October 2 and 3, 2024, at 10:00 AM (Mountain Time, UTC-06:00)

Join Online:

Join by Phone:

  • Dial-In Number: +1-780-851-3573 (Canada Toll – Edmonton)
  • Access Code: 277 254 26969

PLEASE NOTE – Recording or rebroadcasting of this hearing is strictly prohibited.

Documents related to this matter that have been filed to date are available for viewing online – see links BELOW.

We encourage all interested parties to observe the proceedings.

Summary of the Covid Business Restrictions Class Action Lawsuit

Rath & Company has commenced a Class Action lawsuit against the provincial government of Alberta on behalf of business owners who faced operational restrictions due to Public Health Orders during the COVID-19 pandemic. This lawsuit aims to secure financial compensation for businesses in Alberta that were either fully or partially restricted by these health orders.

The legal foundation of this case is anchored in the recent Ingram decision by the Calgary Court of King’s Bench, which determined that the Public Health Orders were not enacted lawfully.

The primary plaintiffs in this lawsuit are two Alberta business owners who suffered considerable financial losses due to the imposed Public Health Orders.

This legal action represents an opportunity for business owners who were operational in Alberta from 2020 to 2022 and were impacted by these health directives.

If you are among those affected and are interested in joining this class action lawsuit as a member of the group, we invite you to register with us. To do so, please complete our intake form.

This is an intake form for use by our legal team. Information provided in this form will be used to assist us in moving the Class Action case forward.

If the Court permits the action to proceed as a “Class Action” (this is called “Certification”), you may be a Class Member. You will receive a notice if the action is Certified that will explain your rights as a Class Member.

Please Complete this Form to the best of your ability and it will be sent directly to: [email protected]

 

To Review the Class Action Documents Click Here:

  • Notice of Application
  • Business Class Action Statement of Claim
  • Business Class Action Plaintiffs Brief
  • Business Class Action Provinces Brief
  • Business Class Action Plaintiffs Reply
  • Affidavit of Rebecca Ingram
  • Affidavit of Christopher Scott
  • Affidavit of Dana Hogemann – Senior
  • Assistant Deputy Minister, Treasury Board Secretariat
  • Affidavit of Andy Ridge – Incident Commander of the Emergency Operations Centre with the Ministry of Health
  • Affidavit and Expert Report of Randy Popik – Chartered Accountant at Kingston Ross Pasnak LLP
  • Affidavit and Expert Report of Christopher Cotton – Professor of Economics at Queen’s University
  • Scott Transcript
  • Ridge Undertaking
  • Ridge Transcript
  • Cotton Undertaking
  • Cotton Transcript
  • Popik Undertaking
  • Popik Transcript
  • Ingram Transcript
  • Eberle-Morris Transcript
  • Hogemann Transcript
  •  Ingram Decision

Covid Business Losses Class Action Intake Form

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Thank you for your participation. Your assistance is greatly appreciated.

Business Class Action Update – October 1, 2024

The Certification Hearing scheduled with Justice Feasby will be available for online viewing. Below are the details you need to join the session:

Date and Time:

  • October 2 and 3, 2024, at 10:00 AM (Mountain Time, UTC-06:00)

Join Online:

Join by Phone:

  • Dial-In Number: +1-780-851-3573 (Canada Toll – Edmonton)
  • Access Code: 277 254 26969

PLEASE NOTE – Recording or rebroadcasting of this hearing is strictly prohibited.

Business Class Action Update – June 21, 2024

The government of Alberta has taken the position of opposing the certification of our proposed class action. As a result, we must go to court to get the lawsuit “certified” as a class action – this is known as the certification hearing.

The certification hearing is scheduled for October 2 and 3, 2024, before Justice Feasby. The following schedule has been agreed to leading up to the certification hearing:

We have uploaded the Plaintiffs Notice of Application and evidence in support as well as the government of Alberta’s evidence on our website. Specifically, on the website you can now find the:

Frequently Asked Questions

What is a Class Action Lawsuit?
A class action lawsuit is a legal action where a group of people collectively brings a claim to court. This type of lawsuit is distinct from individual cases, as it represents the interests and seeks compensation for a class of people who have been affected by similar acts of negligence or harmful practices. Class-action suits provide a more comprehensive approach to addressing widespread issues, allowing for a collective voice in legal proceedings. These lawsuits can be instrumental in achieving justice for a larger group and can potentially set precedents for future legal and protective standards.
What is certification?

The court must first assess whether the claim should be advanced in the form of a class action. The court will consider whether the claim shows an appropriate cause of action, an identifiable class of persons, and issues that are shared in common. The court will also determine whether a class action is a preferable procedure, and whether there is an appropriate representative plaintiff. If the class action is certified by the court, the representative plaintiff or plaintiffs will advance the case on behalf of all class members.

Am I a class member?

When a class action is certified, a definition of the class is provided. If you are an individual class member meeting the class description, then you do not need to sign up to be part of the class action – you are automatically included.

If you owned or operated a business in Alberta from 2020-2022 and wish to register with us as a member of the group, please fill out the intake form.
Do I have to pay to be part of the class action?
No. This class action will proceed on a contingency fee basis.  This means that the lawyers bringing the action will only be paid if the class action succeeds. If successful, the lawyers will be paid a portion of the settlement or judgment, but only if the Court approves.

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Alberta

Low oil prices could have big consequences for Alberta’s finances

Published on

From the Fraser Institute

By Tegan Hill

Amid the tariff war, the price of West Texas Intermediate oil—a common benchmark—recently dropped below US$60 per barrel. Given every $1 drop in oil prices is an estimated $750 million hit to provincial revenues, if oil prices remain low for long, there could be big implications for Alberta’s budget.

The Smith government already projects a $5.2 billion budget deficit in 2025/26 with continued deficits over the following two years. This year’s deficit is based on oil prices averaging US$68.00 per barrel. While the budget does include a $4 billion “contingency” for unforeseen events, given the economic and fiscal impact of Trump’s tariffs, it could quickly be eaten up.

Budget deficits come with costs for Albertans, who will already pay a projected $600 each in provincial government debt interest in 2025/26. That’s money that could have gone towards health care and education, or even tax relief.

Unfortunately, this is all part of the resource revenue rollercoaster that’s are all too familiar to Albertans.

Resource revenue (including oil and gas royalties) is inherently volatile. In the last 10 years alone, it has been as high as $25.2 billion in 2022/23 and as low as $2.8 billion in 2015/16. The provincial government typically enjoys budget surpluses—and increases government spending—when oil prices and resource revenue is relatively high, but is thrown into deficits when resource revenues inevitably fall.

Fortunately, the Smith government can mitigate this volatility.

The key is limiting the level of resource revenue included in the budget to a set stable amount. Any resource revenue above that stable amount is automatically saved in a rainy-day fund to be withdrawn to maintain that stable amount in the budget during years of relatively low resource revenue. The logic is simple: save during the good times so you can weather the storm during bad times.

Indeed, if the Smith government had created a rainy-day account in 2023, for example, it could have already built up a sizeable fund to help stabilize the budget when resource revenue declines. While the Smith government has deposited some money in the Heritage Fund in recent years, it has not created a dedicated rainy-day account or introduced a similar mechanism to help stabilize provincial finances.

Limiting the amount of resource revenue in the budget, particularly during times of relatively high resource revenue, also tempers demand for higher spending, which is only fiscally sustainable with permanently high resource revenues. In other words, if the government creates a rainy-day account, spending would become more closely align with stable ongoing levels of revenue.

And it’s not too late. To end the boom-bust cycle and finally help stabilize provincial finances, the Smith government should create a rainy-day account.

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Alberta

Governments in Alberta should spur homebuilding amid population explosion

Published on

From the Fraser Institute

By Tegan Hill and Austin Thompson

In 2024, construction started on 47,827 housing units—the most since 48,336 units in 2007 when population growth was less than half of what it was in 2024.

Alberta has long been viewed as an oasis in Canada’s overheated housing market—a refuge for Canadians priced out of high-cost centres such as Vancouver and Toronto. But the oasis is starting to dry up. House prices and rents in the province have spiked by about one-third since the start of the pandemic. According to a recent Maru poll, more than 70 per cent of Calgarians and Edmontonians doubt they will ever be able to afford a home in their city. Which raises the question: how much longer can this go on?

Alberta’s housing affordability problem reflects a simple reality—not enough homes have been built to accommodate the province’s growing population. The result? More Albertans competing for the same homes and rental units, pushing prices higher.

Population growth has always been volatile in Alberta, but the recent surge, fuelled by record levels of immigration, is unprecedented. Alberta has set new population growth records every year since 2022, culminating in the largest-ever increase of 186,704 new residents in 2024—nearly 70 per cent more than the largest pre-pandemic increase in 2013.

Homebuilding has increased, but not enough to keep pace with the rise in population. In 2024, construction started on 47,827 housing units—the most since 48,336 units in 2007 when population growth was less than half of what it was in 2024.

Moreover, from 1972 to 2019, Alberta added 2.1 new residents (on average) for every housing unit started compared to 3.9 new residents for every housing unit started in 2024. Put differently, today nearly twice as many new residents are potentially competing for each new home compared to historical norms.

While Alberta attracts more Canadians from other provinces than any other province, federal immigration and residency policies drive Alberta’s population growth. So while the provincial government has little control over its population growth, provincial and municipal governments can affect the pace of homebuilding.

For example, recent provincial amendments to the city charters in Calgary and Edmonton have helped standardize building codes, which should minimize cost and complexity for builders who operate across different jurisdictions. Municipal zoning reforms in Calgary, Edmonton and Red Deer have made it easier to build higher-density housing, and Lethbridge and Medicine Hat may soon follow suit. These changes should make it easier and faster to build homes, helping Alberta maintain some of the least restrictive building rules and quickest approval timelines in Canada.

There is, however, room for improvement. Policymakers at both the provincial and municipal level should streamline rules for building, reduce regulatory uncertainty and development costs, and shorten timelines for permit approvals. Calgary, for instance, imposes fees on developers to fund a wide array of public infrastructure—including roads, sewers, libraries, even buses—while Edmonton currently only imposes fees to fund the construction of new firehalls.

It’s difficult to say how long Alberta’s housing affordability woes will endure, but the situation is unlikely to improve unless homebuilding increases, spurred by government policies that facilitate more development.

Tegan Hill

Director, Alberta Policy, Fraser Institute

Austin Thompson

Senior Policy Analyst, Fraser Institute
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