Claims (August 01, 2010)

SURVEILLANCE FOR EVIDENCE COLLECTION DOES NOT FALL UNDER PRIVACY LAW: FEDERAL COURT Using surveillance to help mount a defence in a civil legal action is not a “commercial activity” under Canada’s privacy law and is therefore not bound by the Personal Information Protection and Electronic Documents Act (PIPEDA), the Federal Court of Canada has ruled.

Nevertheless, the Privacy Commissioner does have jurisdiction to investigate the claim, the court also found.

In State Farm Mutual Automobile Insurance Company and Privacy Commissioner of Canada, State Farm collected surveillance and evidence on Gerald Gaudet on behalf of its insured policyholder, Jennifer Vetter.

Gaudet launched a civil tort suit against Vetter related to a 2005 automobile accident. Gaudet demanded that State Farm hand over any and all documentation the insurer had collected on him, arguing that to collect evidence and to use surveillance without his knowledge or permission is a violation of his rights under PIPEDA.

State Farm argued the evidence fell outside the scope of PIPEDA and that it was protected by client-attorney privilege. The insurer argued further that it was not within the privacy commissioner’s jurisdiction to investigate the claim.

ESTIMATED $85 MILLION IN CLAIMS FROM LEAMINGTON, ONTARIO TORNADO

A June 2010 tornado that touched down in Leamington, Ontario generated 4,750 home, commercial and auto claims totalling an estimated $85 million, a preliminary report from PCS Canada found.

The majority of the claims were for homes, the Insurance Bureau of Canada says, based on the PCS Canada data.

The F1 tornado touched down in Essex County, along the shore of Lake Erie, southwest of Leamington at around 3 a.m. on June 6.