Appeal from a Certificate of Assessment of Costs following settlement of a motor vehicle accident action.
The plaintiffs accepted a pre‑trial settlement of $190,000 plus costs to be assessed, after which an assessment officer awarded partial indemnity costs exceeding $231,000.
The defendants appealed, arguing that the assessment officer failed to properly apply Rules 57.01(1) and 58.06 of the Rules of Civil Procedure and failed to consider the principle of proportionality.
The court held that the assessment officer committed errors in principle by misdirecting himself regarding the applicable rules and by failing to address proportionality in light of the settlement amount.
The costs award was reduced to $102,000 inclusive of fees, HST, and disbursements.