In a construction lien action, the defendant contractor sought leave under s. 67(2) of the Construction Lien Act to bring an interlocutory motion for security for costs and requested that the plaintiff post $75,000.
The court held that leave may be granted where the proposed interlocutory step is necessary to ensure procedural fairness, particularly where there is evidence suggesting the corporate plaintiff may lack sufficient assets in Ontario to satisfy a potential costs award.
After reviewing evidence including outstanding writs, multiple lien actions, and insufficient financial disclosure, the court found good reason to believe the plaintiff lacked adequate assets.
Security for costs was therefore ordered, but in a reduced amount proportionate to the lien claim and the security already posted to vacate the lien.
