L.E. Lung

The defendant moved to set aside a default judgment and notice of garnishment obtained by the plaintiff.

The court granted the motion, finding that the defendant acted promptly upon learning of the judgment, provided a plausible explanation for the default due to improper service and lack of notification, and presented an arguable defence regarding defective products.

The court emphasized that the plaintiff's counsel failed to provide a courtesy copy of the claim or judgment to the defendant's retained counsel, and that the administration of justice favored a trial on the merits.

The plaintiff brought a motion to strike a paragraph of the defendants’ fresh as amended statement of defence asserting that the claim was statute-barred under the limitation period.

The plaintiff argued the issue had already been determined on an earlier motion and that the defendants were estopped from relitigating it.

The court held that it was not plain and obvious that the earlier endorsement constituted a final determination of the limitation issue, particularly given the limited reasons and absence of a formal order.

The court also noted that the plaintiff had taken significant fresh steps in the litigation after the defence was served and had not complied with earlier procedural timelines.

The motion to strike was dismissed, leaving the limitation defence to be determined on a fuller evidentiary record at summary judgment or trial.