SCC sheds new light on cause-of-action estoppel; clarifies requirements & application

By Cristin Schmitz ( May 8, 2026, 5:51 PM EDT) -- The Supreme Court of Canada has explained the contours and application of the cause-of-action estoppel branch of the common law doctrine of res judicata, dividing 6-3 in a Newfoundland and Labrador power-of-sale case to hold that the appellant mortgagee’s $4-million claim under a collateral mortgage is res judicata as it had already been determined in an earlier court proceeding....