Right, the party with the most seats won would get first shot at forming government.

If your assumption is that the Conservatives would win the next election with a majority, then they would be able to form government without needing to rely on any other party (like the Libs rely on the NDP now).

Since political parties in parliamentary democracies typically vote uniformly, a majority party is generally able to pass legislation regardless of the position of opposition parties, which is why I questioned the presumption of gridlock.