Meng Dan Li

The condominium corporation sought full or substantial indemnity costs after a mixed result in an application against unit owners for unauthorized modifications.

The court found the condominium's offer to settle was as favourable or more favourable than the ruling, entitling them to costs under Rule 49.10.

However, due to the applicant raising an alternate remedy late in the process, the court exercised its discretion under Rule 49.10 and Rule 57.01, awarding a reduced amount of $5,000 in costs to the condominium, significantly less than the $37,000-$46,000 sought.

The applicant condominium corporation sought orders against unit owners for unauthorized modifications, specifically an added bathroom, which breached the Condominium Declaration and Section 117 of the Condominium Act, 1998, by posing a risk to property and occupants due to Building Code non-compliance.

The court found jurisdiction for the Section 117 breach but dismissed the Declaration breach claim due to a failure to arbitrate.

The court ordered the respondents to bring the added bathroom into Building Code compliance or remove it, with the condominium authorized to perform the work at the owners' expense if they failed to comply.