Following the dismissal of the plaintiffs' $7.5 million action for negligent enforcement of a sign by-law, the successful defendant municipality sought costs on an elevated partial indemnity basis.
The plaintiffs argued for a distributive costs order or no costs, claiming the action was public interest litigation.
The court rejected the public interest argument and declined to make a distributive costs order, but reduced the defendant's fees by 25% to account for time spent on an unsuccessful defence regarding a 1988 by-law.
The court also declined to award elevated costs, finding no reprehensible conduct by the plaintiffs.
Costs were fixed at $275,000 for fees and $79,510.26 for disbursements.