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City’s $31M lawsuit against insurers over 2012 flood damage continues

The city of Thunder Bay filed a lawsuit against insurance providers relating to repair costs for the wastewater treatment plan damaged in the 2012 flood and if it does proceed to trial it likely will not be heard before 2026
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The wastewater treatment plant on Atlantic Avenue sustained significant damages during the 2012 flood. (File).

THUNDER BAY — A $31 million lawsuit relating to damages sustained by the city’s wastewater treatment plant during the 2012 flood continues to wind its way through the court, but if it does end up proceeding to trial, it likely won’t be heard by a judge until 2026.

The lawsuit was first filed by the city of Thunder Bay in 2017 against the Ontario Municipal Insurance Exchange seeking money owed for repair costs to the wastewater treatment plant.

The May 2012 flood in the east end caused significant damage to the city’s wastewater treatment plant on Atlantic Avenue. The total cost to repair the damages was $58 million.

OMEX covered part of the repairs costs of the facility but said further repairs were related to upgrades and not covered.

During a hearing on the matter held Friday, counsel for the city of Thunder Bay is requesting a witness be called again to answer additional questions relating to a repair costs report for the facility.

Justice Danial Newton will make a ruling on the request at a later date.

The city's counsel also noted that the city’s intention is to proceed to trial on this matter.

Newton advised that given the many cases before the courts, a trial date should not be expected until 2026 at the earliest.

The parties could move toward an appraisal act, which would be much quicker than a trial.




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