This endorsement addresses the costs of a previously dismissed motion brought by Bruce Wallace, who sought a Certificate of Pending Litigation (CPL) or alternative security.
The motion was dismissed because Wallace failed to demonstrate a reasonable claim to the properties.
Stephen Campbell, Pamela F. Campbell, and Gryphon’s Head Properties Limited (the "Campbells") sought substantial indemnity costs, arguing the motion was meritless and should never have been brought.
Wallace argued for lower costs, citing financial difficulties and the potential future utility of the motion materials for the Campbells.
The court found that while there was no formal offer to settle, the extensive materials prepared by the Campbells should have prompted Wallace to reconsider his motion.
Despite a prior agreement between former counsel regarding the CPL, the court concluded that substantial indemnity costs were not appropriate.
However, given the extensive materials prepared by the Campbells, partial indemnity costs of $10,000 were awarded, payable by Wallace within 30 days, rejecting Wallace's financial hardship claim due to unaccounted funds.