Canada - Manitoba farm ordered to pay $660K after crop insurance lawsuit

19.07.2026 50 views

MASC says it overpaid farm hundreds of thousands based on misrepresented production data in crop insurance claims, farm says it is working with the agency for a settlement, rather than appeal.

n Arborg-area farm was told to pay more than $660,000 after Manitoba’s crop insurance agency took them to civil court, arguing the operation misrepresented production figures on canola and soybean claims over two crop years.

The lawsuit passed through the Manitoba Court of King’s Bench last year, leading to a default judgement in August after none of the defendants in the court case — Barclay Uruski, William Uruski, and the business entities Uruski & Uruski and Uruski & Uruski Farms — filed a statement of defence.

WHY IT MATTERS

William Uruski says the farm is working directly with Manitoba Agricultural Services Corporation following a default court judgement in favour of the Crown corporation last year.

Misreported tonnes, missing records

According to a statement of claim filed in September 2024 by the Manitoba Agricultural Services Corporation (MASC), the Uruskis held an AgriInsurance contract dating back to 2001, covering crops on land they farmed near Arborg.

Under the contract, the insured were required to certify their seeded acreage and harvested production each year, with those certifications forming the basis for any insurance payout.

In its statement of claim, MASC said the defendants failed to report approximately 25.8 tonnes of canola production in 2021 and 78.4 tonnes in 2022.

The claim also alleges they misrepresented their harvested canola production in post-harvest claims for both years.

For 2021, MASC further alleged the defendants failed to report approximately 14.7 tonnes of soybean production, and similarly misrepresented their soybean post-harvest production that year.

As a result, MASC said it overpaid indemnities of about $207,144.77 on the 2021 canola claim, $361,579.60 on the 2022 canola claim, and $38,777.82 on the 2021 soybean claim.

That totalled roughly $607,500, which formed the basis of MASC’s original claim, before interest.

Audit access refused, contract terminated

The statement of claim also says MASC conducted an audit of the defendants’ production records and that the defendants repeatedly refused to provide access to records or release information as required under the contract.

As a result, MASC terminated the Uruski’s AgriInsurance contract, effective of the 2024 crop year, and barred them from reapplying for coverage individually, in partnership or through any corporation until the 2029 crop year.

Court records show the statement of claim was served to both Barclay and William Uruski in early 2025. William Uruski is named in the claim both as an individual defendant and in his capacity as a director of the business entities.

Manitoba Companies Office records show Uruski & Uruski is registered as an active business name partnership, operating in farm grain and poultry.

The current registered partners are Barclay Wm. Uruski, Brendan Jonathan Uruski and Shelley Lynn Uruski, all at the same Arborg address named in the lawsuit.

William Uruski is not currently listed as a partner in the farm business; the registry shows a change in partnership membership filed April 24 of this year.

No defence, judgment by default

With no defence filed, MASC obtained default judgment Aug. 14, 2025, in the amount of $656,502.64, plus $3,871.48 in costs, with interest accruing at 9.2 per cent annually. That brought the total on the certificate of judgement to $$660,374.12, according to Manitoba’s court documents registry.

The judgment is “joint and several” against all four defendants, meaning MASC can pursue the full amount from any one of them.

No appeal planned, talks continue

William Uruski said in a phone interview that the family does not dispute the judgment and is working toward a settlement with MASC.

“In fact, we’re negotiating a settlement at the present time,” he said on June 30. “This is to settle the entire amount.”

William Uruski said the family does not plan to pursue a formal legal appeal of the judgment, and is instead negotiating directly with MASC’s management. He added that the corporation has been willing to work with the family.

“There is no appeal mechanism other than the courts, and the courts generally deal with the specifics of contract law,” he said.

“Our appeal is directly to the management of the corporation, and we’ve received, I would say, a fair assessment, to say, ‘look, we’re prepared to look at what you’re able to settle with us,’” he added.

The family has been consulting with their financial institution to determine what they can offer MASC, and expected a meeting with the corporation “in the next week or two” to finalize terms.

“We’re hoping to reach a settlement in the next while,” William Uruski said.

William Uruski is a former Manitoba minister of agriculture who served as an MLA from 1969 to 1990 in the NDP governments of Edward Schreyer and Howard Pawley. He and his family have operated a farm near Arborg since the late 1960s, raising turkeys as well as grain crops.

MASC declined to comment on the matter, and Barclay Uruski did not return the Co-operator’s phone calls.

 

Source - https://www.manitobacooperator.ca

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