Kristen Stewart And James Franco Ignite Romance Rumors

"I watched [Kristen and James] chatting for about 20 minutes. Kristen was surrounded by bodyguards, but I could clearly see how excited they were, laughing and flirting," a source told the site.  "James invited Kristen for a dinner that night, and someone [said] that James thinks Kristen is beautiful, and an amazing actress."

"Kristen and James Franco chatted for like 10 minutes in a corner [at Toronto's Soho House], looking flirty," added another source, apparently less prone to exaggeration. "Kristen went to a mysterious third floor and James followed her."

Though it's unreasonable to assume that their brief interaction signifies a full-fledged romance, Franco has expressed warm feelings for the 22 year-old.

In June, the 34-year-old took to his blog at the Huffington Post to pay bizarre, effusive homage to Stewart.

In "Kristen Stewart the Queen," the actor lauded her performance in "Snow White and the Huntsman" and likened her to the character she plays in the film.

"To me, then, the images of Snow White as a leader of immense strength, charging on horseback across the beach at the head of an army, has less to do with her character and more to do with the actress who plays her," said Franco. "Stewart has braved more scrutiny of her private life than most presidents. She has taken big career risks by doing films like 'Welcome to the Rileys,' 'The Runaways," and 'On the Road' (nudity, I hear). She has worked her ass off. Whatever Snow White may be, Kristen is a warrior queen. Give her the crown."

Like Stewart, Franco is also bedeviled by a public falling out. On Thursday, it was reported that the famed multi-tasker was being sued for defamation by one of his former NYU professors. Jose Angel Santana, claims that he lost his job after giving the actor a D in his Directing the Actor II clas. Santana maintains that Franco missed 12 out of 14 classes because he was on location filming "127 Hours" at the time.

Santana filed a lawsuit against NYU in December of 2011 and is now taking legal action against the Oscar nominee for unflattering comments he made after the lawsuit was filed.

According to ABC, Franco spoke about Santana while promoting "The Broken Tower," his NYU thesis film.  

"No teacher will ever be fired from NYU for giving a student a 'D,'" Franco told reporters in April. "He wasn't fired; he was asked not to come back after three years, because they didn't think he was a good teacher."

Franco was also adamant that Santana "used my name to get attention."

But Franco's legal troubles haven't undermined the successful debut of his latest film, "Spring Breakers." The raunchy comedy made waves at both the Venice Film Festival and the TIFF.

For Stewart, the TFF has acted as somewhat of a comeback platform. The starlet was all smiles at the premiere of "On the Road" and managed to keep personal matters from outshining the highly anticipated beatnik drama.

Stewart has earned rave reviews for her performance as Marylou, an anguished young bride. Following the film's debut, the Huffington Post's Michael Hogan asked" Is Kristen Stewart the only major celebrity of her generation who also happens to be a true artist?"

We wonder what Mr. Franco would say to that.

In July, the "Twilight" sensation was snapped cheating on Robert Pattinson with Rupert Sanders, her "Snow White and the Huntsman" director and married father of two.

Shockingly, Stewart immediately issued a public apology to the 26-year-old.

"I'm deeply sorry for the hurt and embarrassment I've caused to those close to me and everyone this has affected. This momentary indiscretion has jeopardized the most important thing in my life, the person I love and respect the most, Rob. I love him, I love him, I'm so sorry," Stewart said in a statement to People.

Based on Stewart's recent comments (and the fact that she continues to wear his clothing), it seems that Pattinson may have accepted her mea culpa.

During Saturday's press conference for "On the Road" at the TIFF, the actress was asked how she and the actor would get through upcoming promotional events for "Breaking Dawn: Part 2.

"We're going to be fine," Stewart said unfazed. "We're totally fine."