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Court fixes reduced costs award after dismissed multi‑million dollar commercial claim.
Following an eight‑day trial in which the plaintiff’s action was dismissed, the successful defendant sought substantial indemnity costs after an earlier settlement offer to dismiss the claim without costs.
The plaintiff argued that costs should remain on a partial indemnity scale and challenged both the proportionality of counsel time and several disbursements.
The court considered the factors under Rule 57.01, including the magnitude of the claim, the complexity of the litigation, the importance of the issues to other generators, and the relative financial positions of the parties.
The judge concluded that the amounts sought were excessive and that the unsuccessful party should not bear the full scope of the defendant’s litigation resources.
Total costs were fixed at $250,000 inclusive of HST.
No contractual right to post‑year‑10 CPI escalator in electricity purchase agreement.
A small hydroelectric power producer sought a declaration and damages concerning the interpretation of a long‑term electricity purchase contract.
The plaintiff argued that payments after the tenth year of the agreement were required to escalate annually with inflation, while the defendant maintained that the contract fixed the tenth‑year rate as a floor and permitted annual rate determinations thereafter.
The court held the contract language was clear and contained no entitlement to an automatic inflation escalator.
Claims based on estoppel arising from the treatment of other generators were rejected.
Although the limitation period did not bar claims arising within two years before the action, the plaintiff ultimately failed to establish entitlement under the contract.
Default trial awards damages for workplace sexual assault and resulting income loss.
A youth care worker brought a civil action against her employer and supervisor after being violently assaulted and sexually assaulted by a resident at a group home.
The defendants’ statement of defence was struck and they were noted in default, leaving a trial solely on damages.
The court permitted an amendment to increase the claimed damages because the defendants had notice and suffered no prejudice.
Applying principles governing non‑pecuniary damages for sexual assault and workplace negligence, the court awarded substantial general damages including aggravated damages, together with damages for past and future income loss supported by expert evidence.
The defendants were held jointly and severally liable for the total damages award.