Following dismissal of a claim after a short civil trial, the successful defendant sought approximately $61,000 in costs.
The court considered the principles governing costs under s. 131 of the Courts of Justice Act and Rule 57.01 of the Rules of Civil Procedure, including fairness, proportionality, and the purposes of costs awards.
The defendant had made a Rule 49 offer to settle that was more favourable than the judgment obtained at trial, triggering the presumption of substantial indemnity costs after the offer date.
While recognizing the plaintiffs were self‑represented and faced financial hardship, the court held that costs must follow the event and cannot be determined based on sympathy.
Applying proportionality in a simplified procedure action, the court fixed a fair and reasonable all‑inclusive costs award of $50,000 payable by the plaintiffs.