The Ecuadorian plaintiffs sought to enforce a judgment of approximately 9.5 billion dollars from an Ecuadorian court against Chevron Corporation and its subsidiary, Chevron Canada Limited, in Ontario.
Following the Supreme Court of Canada's affirmation of Ontario's jurisdiction to hear the enforcement action, the motion judge granted summary judgment in favor of Chevron and Chevron Canada, dismissing the plaintiffs' claims on the basis of separate corporate personality.
The plaintiffs appealed.
Chevron and Chevron Canada brought a motion for security for costs.
The court held that security for costs was warranted because the plaintiffs were ordinarily resident outside Ontario, had not demonstrated impecuniosity, and had not established a good chance of success on appeal.
The court rejected the plaintiffs' argument that a new approach to security for costs should apply to foreign judgment enforcement actions, finding that comity does not require foreign litigants to be treated more favorably than domestic litigants.