The moving defendants, an elderly couple, brought a motion to set aside a default judgment obtained against them four years prior.
They discovered the judgment when attempting to refinance their home and faced potential mortgage enforcement proceedings.
The defendants denied being served with the statement of claim and provided an arguable defence, asserting that a signature on a dishonoured cheque was forged.
The court found the defendants moved reasonably promptly given the COVID-19 pandemic, provided a plausible explanation for the default, and raised an arguable defence.
The court set aside the default judgment, emphasizing the preference for determining disputes on their merits, and awarded the plaintiffs $1,500 in costs thrown away.
