B. Belmont

Following a judgment declaring a mortgage registered by the respondents to be fraudulent, the applicant sought costs on a substantial indemnity basis.

The court applied the principle of reasonableness and considered an offer to settle made by the applicant.

Finding that the applicant obtained a judgment as favourable as the offer, the court awarded partial indemnity costs up to the date of the offer and substantial indemnity costs thereafter, fixing the total costs award at $20,000.

The moving party, Siddiqsons, brought a motion to strike a further affidavit delivered by the responding party, Adler, in the context of a long-delayed Show Cause hearing.

Siddiqsons argued that Adler had no right to submit further materials without leave and that the affidavit was served too late.

The Master dismissed the motion, finding that Siddiqsons had caused the initial procedural irregularities by serving their own materials late and failing to address the issue of prejudice.

Because Siddiqsons' evidence on prejudice was effectively responding evidence, Adler was entitled to deliver reply evidence.

The motion was dismissed and a new deadline for cross-examinations was set.

The plaintiff brought a motion regarding evidentiary issues arising from a scheduled show cause hearing under Rule 48.14.

The plaintiff had delivered its show cause record only one week before the hearing, prompting the defendant to serve a responding affidavit raising the issue of prejudice.

The plaintiff sought to file a Reply Record and cross-examine the defendant's affiant on prejudice.

The Master found the plaintiff was responsible for the late delivery of materials but, given the severe consequences of a show cause hearing, exercised discretion to allow the plaintiff to file a Reply Record and conduct the cross-examination, restricted solely to the issue of prejudice and subject to costs.