The defendants brought a motion for further security for costs in two related actions involving corporate and foreign plaintiffs alleging ownership of certain inventions.
The court held that entitlement to security for costs had already been determined in an earlier order and that the only remaining issues were the appropriate form and quantum of additional security.
The plaintiffs proposed an undertaking rather than posting funds, but the court rejected this form of security due to the risk that an Ontario costs award might not be enforceable in Oregon because of potential sovereign immunity.
Assessing the anticipated costs of a lengthy and complex trial, the court fixed additional security at $585,000.
The plaintiffs were ordered to post the security by irrevocable letter of credit or by payment into court.
