Catherine P. Clark

The Court of Appeal for Ontario issued a costs endorsement following an appeal.

The court reviewed the parties' written submissions and largely agreed with the appellant's position, finding it fair and reasonable.

The court slightly increased the award to the main respondent to reflect its greater participation.

Costs were awarded to the respondents on a partial indemnity basis, totaling $30,000.

The appellant insurer appealed a decision finding it had a duty to indemnify the respondent insured under a commercial general liability policy for damages arising from defective concrete.

The insurer relied on the 'Your Work' and 'Rip and Tear' exclusions.

The Court of Appeal dismissed the appeal, holding that the 'Your Work' exclusion was ousted by the 'subcontractor' exception because the entity that supplied the defective concrete was properly characterized as a subcontractor.

The Court also found the 'Rip and Tear' exclusion incomprehensible and therefore inapplicable.