Court File and Parties

Court File No.: 347/07

Released: 20080929

ONTARIO

SUPERIOR COURT OF JUSTICE

DIVISIONAL COURT

Re: DR. PEGGY VIVIAN WATT and ADAM CROTHALL Appellants

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CLASSIC LEISURE WEAR INC., PETROMAC HOLDINGS INC., PEGGY SHALAPOUTIS, and THOMAS JEFFREY LEWIS Respondents

Before: Jennings, Molloy and Swinton JJ.

Counsel: Sonia T. Kociper and Ali M. Amini for the Appellants Signe B. Leisk for the Respondents

Heard at Toronto: In writing

COSTS ENDORSEMENT

[1] We reject the submission of the appellants that there should be no costs, or costs should be reduced on the grounds that they were litigating in the public interest. Costs should follow the event.

[2] The respondents shall have the costs of the appeal on a partial indemnity basis. The appellants’ conduct of the appeal was not so egregious as to warrant a punitive costs award.

[3] Ultimately, an award of costs should be an amount that is fair and reasonable for the losing party to pay. In our view, the disbursements of $1,700.00 are reasonable.

[4] We accept the submission of the respondents that the size of the record filed by the appellants required counsel to expend significant time in order to respond.

[5] In determining fees, we have taken into consideration that the hourly rate of $322.00 claimed by counsel, Ms. Leisk, on a partial indemnity basis is high, given her year of call in 2002. Fees for the appeal (including the costs submissions) are fixed at $25,000.00 plus GST.

[6] The costs of the leave to appeal motion were fixed at $5,000.00 by Kiteley J.

[7] Therefore, costs are awarded to the respondents in the amount of $30,000.00 plus GST plus disbursements of $1,700.00.

Jennings J.

Molloy J.

Swinton J.

Released: September 29, 2008