The appellant developer appealed the dismissal of its application to enforce a restrictive covenant limiting the size of ancillary buildings on a lot purchased by the respondents.
The covenant expired before the appeal was heard.
The Court of Appeal dismissed the appeal on the merits as moot, finding no community interests or public importance to justify hearing it.
However, the Court granted leave to appeal costs, finding the application judge erred in awarding substantial indemnity costs to the respondents based on their offer to settle under Rule 49.10(7).
The costs award below was reduced to $20,000.