2008 September 19

Research in Motion Ltd. v. Visto Corp., [2008] O.J. No. 3671

The Ontario Superior Court rejected arguments by the defendant, a competitor of RIM, that the Ontario court did not have jurisdiction, or alternatively, that Ontario was not a convenient forum to hear the trial of this action.  The plaintiff claimed damages in its statement of claim for allegedly false and misleading statements contrary to s. 36 and s. 52 of the Competition Act, alleged violation of s. 7(a) of the Trade-marks Act, and alleged injurious falsehood and unlawful interference with the plaintiff’s economic relations.  These claims related in part to statements allegedly reported and published in various media and on the Internet; interviews with CNBC Europe and CNN in England which were posted on the defendant’s website; and an interview with Telecom TV linked to the defendant’s website.  [Note:  On this type of application, the Court does not decide the merits of the claims].

The Court held that there was a real and substantial connection between Ontario and the facts giving rise to the lawsuit, rejecting defence submissions that Ontario was not implicated because the statements at issue were made in the United States or the United Kingdom by United States citizens regarding a United States patent infringement lawsuit.  The Court noted that the impugned statements “were disseminated in Ontario by direct contact with the media or by the internet.”  Referring to Crookes v Holloway, [2008] B.C.J. No. 834 (BCCA), the Ontario court accepted that “defamation occurs in the jurisdiction where the statements were read or heard.”