The plaintiffs sought leave to appeal a $40,000 substantial indemnity costs award made against them after a motion to strike was resolved on consent.
The motions judge had awarded costs to the defendants for responding to a claim by a voluntarily dissolved corporation.
The Divisional Court granted leave to appeal, finding strong grounds to question whether the defendants reasonably incurred such high costs given their position that the claim was certain to fail, and whether costs for an adjourned motion should have been awarded before its final disposition.
