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The successful applicants on a summary judgment motion were awarded $25,000 in costs based on principles of reasonableness and proportionality.
This ruling addresses the costs of an application where the applicants successfully obtained an order terminating an Agreement of Purchase and Sale via summary judgment.
The applicants sought $37,052.24 in partial indemnity costs, citing complexity and importance.
The respondent argued the matter was not complex and proposed a maximum of $15,000.
The court, applying principles of reasonableness and proportionality, awarded the applicants $25,000 inclusive of disbursements and HST.
Agreement of purchase and sale validly terminated as prior meeting did not satisfy post-signing condition.
The applicants sought a declaration that they validly terminated an Agreement of Purchase and Sale for commercial property.
The agreement included a termination option if the respondent failed to complete a pre-consultation meeting with the municipality within four weeks of signing.
The respondent argued a meeting held prior to signing satisfied the condition and sought to convert the application into an action.
The court held the matter could proceed by application as it involved contract interpretation, found the prior meeting did not satisfy the condition, and declared the agreement validly terminated.
