The plaintiff corporation sued the defendants for approximately $180,000 for unpaid invoices.
The defendants brought a motion for security for costs, which was initially dismissed on the basis that it would defeat the plaintiff's claim.
On appeal, the Divisional Court found that the motion judge erred by failing to consider whether the plaintiff had access to funds through its sole shareholder.
The court determined that the plaintiff was not impecunious in the extended sense and ordered the plaintiff to post $50,000 in security for costs.
