The defendant, Ira Greenspoon, brought a motion to set aside a noting in default that was requisitioned on April 15, 2019, in an action initiated in 2004.
Mr. Greenspoon's defence had been struck in 2016 for non-compliance with court orders.
Despite a six-year delay in bringing the motion, the court considered the complexity and long-running nature of the case, Mr. Greenspoon's mistaken belief that the trial would resolve claims against him, and an alleged verbal assurance from the plaintiff's principal.
Applying the criteria for setting aside default under Rule 19.03(1), the court found that denying the motion would cause significant prejudice to Mr. Greenspoon, given his assertion of being a "placeholder" director with no actual involvement in the corporate affairs.
The court granted the motion, setting aside the default noting and reinstating Mr. Greenspoon's Statement of Defence, emphasizing the preference for resolving disputes on their merits.
No costs were awarded as neither party provided cost outlines.