The defendants brought a motion to set aside a default judgment obtained by the plaintiff bank regarding a defaulted commercial loan and guarantees for a franchise restaurant.
The court applied the five-factor test from Intact Insurance and found that the defendants did not move promptly, lacked a plausible excuse for the default, and had no arguable defences on the merits.
The defendants' arguments regarding improper service, forged signatures, ambiguous guarantee terms, and commercially improvident sale of collateral were all rejected.
The motion was dismissed with costs.