Emily C. Durst

The plaintiff brought a motion to declare that a default judgment debt owed by the defendant survived his assignment into bankruptcy pursuant to s. 178(1)(d) of the Bankruptcy and Insolvency Act.

The underlying action involved a breach of trust under the Construction Act for failing to pay for construction materials.

The court held that the defendant's extrinsic evidence attempting to explain the breach of trust was inadmissible on a Rule 59.06(2) motion.

The court found that the deemed admissions from the default judgment established misappropriation while acting in a fiduciary capacity, and therefore the debt survived the bankruptcy.

The plaintiff sought an interlocutory injunction to enforce restrictive covenants against a former sales consultant who allegedly used confidential information to start a competing business.

An interim injunction was already in place on consent.

The court dismissed the application for an expanded interlocutory injunction, finding the plaintiff failed to establish a strong prima facie case for relief beyond the existing interim terms, which already enforced the substance of the restrictive covenants.

The defendants sought their costs of defending a civil action after the Workplace Safety and Insurance Appeals Tribunal ruled the plaintiff's claim was barred by the Workplace Safety and Insurance Act.

The plaintiff argued the defendants should have brought the WSIA application earlier to avoid unnecessary litigation costs.

The court agreed that the defendants should have been aware of the WSIA issue by the time productions were delivered and limited their costs recovery to the end of the pleadings stage, awarding $4,181.