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Settlement privilege waived for indivisible injury

The plaintiff in Dholliwar v. Yu 2015 BCSC 670 was involved in three motor vehicle accidents. He settled his claims arising from the first two accidents. The defendants in the third action applied for production of settlement documentation relating to the claims from the first two accidents. In finding the settlement documentation from the prior claims had to be produced, Master Scarth reasoned the settlements were relevant because the injuries from the three accidents overlapped. Although it had yet to be established that the injuries from the three accidents were indivisible, indivisibility was at issue. There was the potential for the plaintiff to receive double-recovery for the same injuries if the prior settlements were not disclosed. Master Scarth accepted the defendants’ submission that disclosure of the settlement documents was necessary to assist in the settlement of the plaintiff’s claim arising from the third accident.

Case law update by: Chelsea Lott