The respondents were successful in defending a motion to enforce a settlement agreement and sought costs on a substantial indemnity basis.
The applicants argued that costs should be in the cause or fixed at a lower amount on a partial indemnity scale.
The court found that the applicants' conduct was not reprehensible, scandalous, or outrageous, and therefore substantial indemnity costs were not warranted.
Applying the principles of fairness, reasonableness, and proportionality, the court awarded the respondents costs fixed at $30,000 on a partial indemnity basis.
