Allan Sheldon Halpert

Following a proceeding in which the defendant was entirely successful, the court addressed the issue of costs.

Applying the factors under Rule 57 of the Rules of Civil Procedure, the court emphasized that cost awards should reflect the reasonable expectations of the parties and remain proportionate to the dispute.

Given the defendant’s complete success, the court determined that the defendant was entitled to recover costs.

Costs were fixed in a lump sum inclusive of taxes and disbursements.

The plaintiff corporation sued multiple defendants, including a lawyer who held sale proceeds in trust, alleging breach of trust and conversion arising from the sale of a motor vehicle.

The plaintiff argued the lawyer became a constructive trustee through knowing assistance or willful blindness when he released escrow funds on the direction of the plaintiff’s alleged agent.

The court found the plaintiff’s directing mind had authorized the agent to handle the sale and related arrangements, including the handling of proceeds through counsel.

There was no evidence the lawyer had actual knowledge, recklessness, or willful blindness to any wrongdoing, and the funds were handled in accordance with the agent’s instructions.

As a result, neither constructive trust nor conversion was established.

Following dismissal of the applicants’ motion concerning the legal validity of a long‑standing agreement registered on title to residential property, the court addressed the issue of costs.

The respondents, who were wholly successful on the motion, sought over $32,000 in costs on a partial indemnity basis.

The court determined that partial indemnity costs should be calculated at 60% of counsel’s hourly rate and accepted the reasonableness of time spent by a senior real estate lawyer assisting with the matter.

However, a $2,000 disbursement for legal research was disallowed for lack of supporting documentation under Rule 57.01(5) and Form 57A of the Rules of Civil Procedure.

The court ultimately fixed costs at $22,809.82 payable forthwith.