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Rail Accident – Derailing of Two Subway Cars – Subrogatory Action – Can a Rail Transporter Fully Exclude its Liability?

September 2017 Donati Maisonneuve, Quebec

Ace European Group Ltd. v. Canadian National Railway Company, [2017] QCCS 2531

Ace European Group Ltd. (“Ace”) claimed 593,606 USD from Canadian National Railway Company (“CN”) as compensation for an insurance claim after two subway cars under its care were derailed.

The Facts

Ace is the insurer for Bombardier Transportation Canada (“Bombardier”). Bombardier had asked CN to provide transportation for two subway cars from the United States to La Pocatière for maintenance.

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