H. Book

The defendants brought a motion to dismiss the plaintiff's action for failing to timely pay prior costs awards, or alternatively, for an order requiring the plaintiff to post security for costs.

The court declined to dismiss the action, noting the costs orders had since been paid and the plaintiff's conduct was not contumelious.

The court also dismissed the request for security for costs, finding the defendants failed to prove the corporate plaintiff had insufficient assets in Ontario and that the defendants' delay in bringing the motion rendered such an order unjust.

The plaintiff landlord sought summary judgment for approximately $800,000 in alleged unpaid rent from its commercial tenant and guarantor, arising from the tenant paying only 50% of minimum rent after opening its store before certain parking spaces were provided.

The dispute turned on whether a lease amending agreement implicitly removed the tenant’s contractual right to pay reduced rent when opening conditions were unmet.

The court applied principles of contractual interpretation emphasizing objective intention derived from the text and surrounding circumstances.

It held that the amendment concerning alternative parking did not modify the tenant’s right under the original lease to pay 50% rent until the required parking spaces were delivered.

The landlord’s claim for back rent was dismissed and the related summary judgment motion by the landlord’s former lawyers seeking dismissal of the negligence claim against them was also dismissed.

The case management judge issued directions regarding the scheduling and sequencing of outstanding issues in a complex bankruptcy proceeding.

The court ordered written submissions for issues concerning the disclosure of the Trustee's report and the release of funds, while deferring other matters, including examinations and discharge hearings, until the trial judge releases supplementary reasons and determines contempt sentencing.