COURT OF APPEAL FOR ONTARIO

DATE: 20000117

DOCKET:M25162;M25281

RE: MEDHURST HOGG SOBOTTKA LEONG & ASSOCIATES LIMITED

and MHSL/MUTUAL GAIN LTD. (Plaintiffs/Appellants)

and MUTUAL GAIN INCORPORATED, SHARON E. BOWERING

and MICHAEL BOWERING and MHSL/MUTUAL GAIN LTD.

(Defendants/Respondents)

RE: SHARON BOWERING AND MICHAEL BOWERING and

MHSL/MUTUAL GAIN LTD. (Plaintiffs by Counterclaim)

and MEDHURST HOGG SOBOTTKA LEONG & ASSOCIATES

LIMITED (Defendants by Counterclaim)

RE: SHARON BOWERING and MICHAEL BOWERING (Plaintiffs

by Crossclaim) and MHSL/MUTUAL GAIN LTD.

(Defendant by Crossclaim)

BEFORE: FELDMAN J.A. (IN CHAMBERS)

COUNSEL: P. Lynne Lenihan, for the appellants

Lisa E. Hamilton, for the respondents

HEARD: January 14, 2000

E N D O R S E M E N T

[1] The appellants move for an extension of time to file the

appeal. It is conceded that the delay was brief, the intention

to appeal was there all along and that there is no prejudice to

the respondents consequent on the delay.

[2] The argument is that there is no merit to the appeal. In my

view, there are issues of law raised. At this point I cannot say

that they have so little merit that in the face of the other

factors no leave should be granted. Further, it remains arguable

that the appeal period has not yet started to run as the issue of

costs remains outstanding. I need not decide that point at this

time.

[3] In all the circumstances, leave is granted to the appellant

extending the time to file the notice of appeal to Monday,

January 17, 2000.

[4] The respondents move for security for costs against the

joint venture corporation. The evidence as to the ability of

that appellant to pay costs is unclear. However, the other

appellant I am told, is able to pay. As I understand it these

appeals will stand or fall together, therefore the costs should

be recoverable. If that is not necessarily the case, or if the

evidence of the inability of the joint venture company to pay

costs becomes clearer, this order is made without prejudice to

the renewal of the motion for security for costs by the

respondents as advised.

[5] Costs of today shall be to the appellants in the cause of

the appeal fixed at $1,000.00.