Barry J. Goldman

Following a trial for wrongful dismissal where the plaintiff was successful, the court determined the appropriate costs award.

The defendant argued that its offers to settle should impact costs, that costs should be distributed due to the plaintiff's unsuccessful bad faith claims, and that the plaintiff should pay substantial indemnity costs for those allegations.

The court rejected the defendant's arguments, finding the offers did not meet Rule 49 requirements and the bad faith claims, while unsuccessful, were not reprehensible.

The court awarded the plaintiff $171,000 in partial indemnity costs plus disbursements.

The defendant sought leave to amend its statement of defence to assert adverse possession and add a counterclaim claiming ownership of disputed land.

The plaintiff argued the amendment constituted withdrawal of an admission because the original defence relied on acquiescence, which would defeat an adverse possession claim.

The court held that the original pleading did not clearly amount to an admission but assumed it might and applied the test for withdrawal of admissions.

The proposed amendment raised a triable issue, the defendant provided a reasonable explanation based on newly discovered aerial photographs supporting historical possession, and no non-compensable prejudice was established.

Leave to amend the pleading and assert the counterclaim was granted.