The plaintiff mortgagee sought summary judgment for possession of a property and monetary judgment against the mortgagor and guarantors, claiming interest at 21% and relying on a mortgage renewal agreement.
The defendants disputed the interest rate, asserting 12%, and challenged the enforceability of the renewal agreement.
The court found the 21% interest clause violated section 8 of the Interest Act, ruling the interest rate to be 12%.
The court also found the renewal agreement unenforceable due to the plaintiff's knowledge that a co-owner's signature was required, thus the indoor management rule did not apply.
Additionally, a construction lien registered by one defendant was declared expired and vacated.
