The court determined whether agreed costs arising from a successful Rule 21 determination of a question of law should be payable immediately or in the cause pending appeal.
The underlying motion, brought by the tax authority under Rule 21.01(1)(a) of the Rules of Civil Procedure, sought determination of a legal issue prior to trial.
The court held that the Rule 21 proceeding constituted a discrete proceeding capable of disposing of the action and therefore warranted immediate costs consequences.
The successful parties were awarded agreed partial indemnity costs payable forthwith rather than in the cause.
The existence of a pending appeal did not justify delaying payment of the costs.
