Co-defendant ordered to pay City's costs after refusing to assume defence under indemnity agreement.
The plaintiff was injured at Centreville and sued the City of Toronto and Beasley Enterprises.
The City requested Beasley to assume its defence pursuant to a licence agreement, but Beasley refused and crossclaimed against the City.
The action was eventually settled by Beasley and discontinued against the City.
The City brought a motion for its costs.
The court found the plaintiffs acted reasonably in keeping the City in the action, but ordered Beasley to pay the City's partial indemnity costs of $20,689.85 due to the indemnity provisions in the licence agreement and Beasley's refusal to let the City out of the action.
SCJSuperior Court of JusticeMay 24, 2024