Following a successful construction lien trial in which the plaintiff recovered unpaid accounts and defeated the defendant’s set‑off and counterclaim, the court determined costs of the actions and reference under the Construction Lien Act.
The litigation had become complex due largely to the defendant’s conduct, including repeated procedural defaults, unsuccessful motions and appeals, and failure to comply with court orders, which significantly lengthened the proceeding.
The court considered the factors under Rule 57.01, the plaintiff’s Rule 49 offer to settle, proportionality, and the principle of indemnification.
Finding the defendant overwhelmingly responsible for the escalation of costs and noting that the plaintiff had recovered more than double its settlement offer, the court awarded partial indemnity costs up to the offer date and substantial indemnity costs thereafter.
Costs of $78,107.90 were fixed in favour of the plaintiff.