Following a prior summary judgment awarding the plaintiff approximately $994,728.92 on a guarantee claim, the court addressed the appropriate quantum of costs.
The successful party sought $32,500 in partial indemnity costs, while the responding parties argued for $20,000 and challenged docketed hours, hourly rate, and the use of senior counsel rather than junior counsel.
The court held that costs are determined based on what is fair and reasonable rather than through strict percentage formulas and found the docketed hours reasonable.
The court also rejected arguments that work should have been delegated to junior counsel, noting that the experience of senior counsel may reduce total time required.
Partial indemnity costs were fixed at $30,000 inclusive of HST and disbursements.