Knowledge Centre

Before and After: NS Supreme Court Decision on CPP Benefit Deductability

Andrew Sowerby
September 2018 Cox & Palmer, Nova Scotia

The Nova Scotia Supreme Court has decided that Canada Pension Plan disability benefits are not deductible from damages of future income loss or lost earning capacity arising from a motor vehicle accident.

The recent decision of the Supreme Court of Nova Scotia in Holland v Sparks1 decides a question of law on whether s.113A of the Insurance Act applies to future Canadian Pension Plan (CPP) payments. This is a significant decision due to the impact on deductible amounts for injury claims resulting from motor vehicle accidents.

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