Hockey Canada is in a legal battle as insurers threaten to withhold coverage amidst a high-stakes hazing, bullying and abuse lawsuit. The latest developments reveal a complex narrative involving arbitration, insurance disputes and ongoing legal proceedings.
Reporter Rick Westhead, who had promptly provided coverage of the Hockey Canada scandal, explained the recent updates.
"Hockey Canada says its insurers should cover costs related to a hazing, bullying and abuse lawsuit filed by former Canadian Hockey League players," Westhead tweeted.
"When Lloyd’s of London advised Hockey Canada it would not pay for claims of any former players whose abuse allegedly occurred before Sept. 1, 2014, the insurer and Hockey Canada agreed to take their dispute to arbitration."
"After an arbitrator ruled in favour of Hockey Canada on Feb. 12, Lloyd's has gone to court, indicating it plans to appeal that decision."
The situation escalated when insurance companies threatened to withhold coverage from Canada Hockey, the CHL and its three major junior leagues and teams. Court documents reveal Hockey Canada filed a lawsuit against AIG Insurance Company of Canada and TIG Insurance Company, alleging reluctance on their part to honor policy obligations.
The outcome of these legal proceedings will significantly impact the financial obligations and defense strategies of Hockey Canada and the CHL.
Further clarification from Westhead on Hockey Canada's complexities
The implications extend to accountability and justice for victims of abuse in junior hockey. Justice Paul Perell declined to certify the lawsuit as a class action, acknowledging the widespread prevalence of abuse in junior hockey.
"In February 2023, Ontario Superior Court Justice Paul Perell wrote he was convinced abuse in junior hockey is widespread and has been for decades but he refused to certify the case as a class action. The plaintiffs' lawyers are appealing Perell's decision," Westhead shared.
Former CHL players continue to advocate for recognition and compensation for their experiences.
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