Keith Guerts

This endorsement concerns the costs of an injunction motion where the plaintiffs' request to prohibit the defendant Dongab Co. Inc. from exercising its power of sale on two mortgages was denied.

Dongab and Network Sewer and Watermain Ltd., the successful defendants, sought costs on a full indemnity basis, or alternatively substantial or partial indemnity.

Despite mortgage documentation calling for full indemnity, the court exercised its discretion under section 131 of the Courts of Justice Act to award costs on a partial indemnity scale, finding the requested amounts extraordinarily high and exceeding the plaintiffs' reasonable expectations.

The plaintiffs were ordered to pay $163,000.00 in all-inclusive costs.

The Plaintiffs sought an interlocutory injunction to prevent the Defendant Dongab Co. Inc. from exercising its power of sale on two mortgages secured on the Plaintiffs' property.

The Plaintiffs argued that preconditions to repayment were not met and that the Notice of Sale had deficiencies, including improper service and incorrect interest calculation.

The court found no serious issue to be tried regarding the mortgages being due and payable, the amounts owing, or the validity of the Notice of Sale.

The court determined that the Plaintiffs' arguments were tactical attempts to delay payment.

The motion for injunctive relief was dismissed.