The corporate plaintiff sought leave to appeal an order requiring it to post $62,000 as security for costs in a negligence and breach of fiduciary duty action against solicitors involved in a business sale transaction.
The applicant argued that the motions judge erred in finding the corporation was not impecunious, failed to assess the merits of the claim, and did not adequately address delay in bringing the security motion.
The court held that modern jurisprudence permits consideration of a corporation’s ability to obtain funding from shareholders or creditors when assessing impecuniosity and found no conflicting authority warranting appellate clarification.
It further held that the motions judge properly exercised discretion by considering fairness to the defendants and the evidentiary record.
Leave to appeal was refused because there was no reason to doubt the correctness of the decision and the issues lacked broader importance.
