The appellant sought a stay pending appeal of an injunction prohibiting it from dealing in merchandise bearing licensed Anne of Green Gables names or indicia.
Applying the RJR-MacDonald test, the court accepted that some appeal issues were arguable but held the appellant failed to establish irreparable harm that a stay would avert, given its pre-existing financial instability and doubtful prospects of recovery even if successful on appeal.
The court further held the balance of convenience favoured the respondents because continued unauthorized sales and royalty non-payment would impair the integrity of the licensing program and harm other licensees.
The motion was dismissed with costs.
