The plaintiff, 2506045 Ontario Inc., brought a motion for summary judgment against the defendants, Jeffrey Thomas Gaskell and Atilla Rahmaty, for breach of a commercial lease and indemnity agreement.
The tenant, Rahmaty, and indemnifier, Gaskell, defaulted on rent payments for a Mediterranean restaurant premises.
The plaintiff terminated the lease and secured a new tenant within three months.
The defendants disputed the quantum of damages, asserting the plaintiff failed to mitigate losses and that the lease was unconscionable or vague.
The court found that the plaintiff took reasonable steps to mitigate damages and that the defendants failed to provide sufficient evidence to the contrary.
The court also rejected the arguments of unconscionability and vagueness, noting the defendants' active negotiation of lease terms.
Summary judgment was granted in favour of the plaintiff for $223,749 plus prejudgment interest.
