Following dismissal of an appeal from an arbitrator’s decision, the successful party sought full indemnity costs on the basis that the appeal was hopeless and should never have been brought.
The court reviewed the governing principles under s. 131(1) of the Courts of Justice Act and Rule 57.01(1) of the Rules of Civil Procedure, noting that full indemnity costs require reprehensible, scandalous, or outrageous conduct.
The court found that although the appellant was unsuccessful, the appeal was not frivolous or vexatious and counsel’s conduct was professional.
The request for full indemnity costs was therefore rejected.
Partial indemnity costs of $10,492.46 were awarded as fair and reasonable in the circumstances.