Bad faith and disclosure failures justified substantial family law costs and adjusted prejudgment interest.
Following a lengthy family law trial involving equalization, child support, and spousal support, the court determined outstanding issues of costs and pre‑judgment interest.
The court exercised its discretion under ss. 128 and 130 of the Courts of Justice Act to set a prejudgment interest rate of 2.6% on the equalization payment, starting from the date of separation and adjusted for advance payments.
In determining costs under the Family Law Rules, the court found both parties had engaged in bad faith conduct, but the respondent’s conduct—particularly repeated failures to provide financial disclosure and breaches of court orders—had significantly prolonged the litigation.
The court therefore awarded full recovery costs for the early phase of the litigation while reducing recovery for issues affected by the applicant’s own bad faith conduct.
Costs were fixed globally with a portion designated as a support order enforceable under the Family Responsibility and Support Arrears Enforcement Act, 1996.
SCJSuperior Court of JusticeApr 10, 2014