Following a finding of contempt and a motion to strike the defence, the successful party sought full indemnity costs exceeding $67,000.
The court considered the aggravating factors under Rule 57.01 of the Rules of Civil Procedure and the conduct of the responding party, including findings that the responding party had deliberately misled the court and bankruptcy officials.
The court held that the contempt finding justified costs on a higher scale, namely substantial indemnity.
However, the court reduced the amount claimed to account for prior cost awards and some duplication related to a previous motion to lift a stay of proceedings.
Costs were fixed at $50,000 inclusive of HST and disbursements.
