R. Kis

Following a successful application involving a breach of fiduciary duty and disputed signatures, the applicant sought costs on a substantial indemnity basis.

The court declined to award substantial indemnity costs, finding the respondents' conduct was not reprehensible, scandalous, or outrageous.

The court awarded costs to the applicant on a partial indemnity basis, fixing the quantum at $87,100 inclusive of HST and disbursements, after making minor deductions for unissued claims and certain disbursements.

The court determined the appropriate costs award following interlocutory motions in a corporate dispute involving alleged diversion of corporate resources and denial of shareholder access to financial information under the Business Corporations Act.

The moving parties sought substantial costs including full indemnity reimbursement for accounting consultants retained to analyze financial records.

The court held that the moving parties were the more successful parties on the motions and were entitled to costs on a partial indemnity basis.

While the accounting services were reasonably incurred to assist in analyzing financial disclosure, they were treated similarly to legal services and not recoverable on a full indemnity basis.

The court reduced the claimed partial indemnity costs by 25% to reflect the moving parties’ lack of success on certain requested relief and ordered costs payable personally by two respondents rather than the corporation.

The plaintiffs, minority shareholders in a cement contracting business, brought a motion for interim relief in an oppression action, alleging the majority shareholder misappropriated corporate funds for personal use.

The defendants brought a cross-motion to compel mandatory mediation and arbitration and to discharge a Certificate of Pending Litigation (CPL) registered against the majority shareholder's spouse's home.

The court granted the plaintiffs' motion in part, appointing a monitor and requiring board approval for major decisions, while leaving day-to-day management with the majority shareholder.

The defendants' motions were dismissed, as the shareholders agreement did not mandate arbitration and the CPL was validly maintained to protect the corporation's constructive trust claim.

Following a non-jury trial in which the plaintiff recovered damages and the defendant’s counterclaim was dismissed, the parties were unable to agree on costs and prejudgment interest.

The court determined that no Rule 49 offers engaged the enhanced cost consequences under the Rules of Civil Procedure.

Costs were therefore awarded to the successful party on a partial indemnity basis, with the court fixing a reasonable hourly rate and approving trial preparation and attendance time as proportionate to the complexity of the dispute.

The court also addressed disbursements, rejecting the argument that mediation costs should be excluded.

Prejudgment interest was awarded at the standard rate of 4.3% pursuant to the Courts of Justice Act, with no special circumstances justifying a departure.

The plaintiff, an engineering and consulting company, brought an action against the defendant for breach of an oral agreement regarding the upgrade of a test panel for an aerospace project.

The plaintiff sought payment for three outstanding invoices.

The defendant counterclaimed, alleging the plaintiff abandoned the project and failed to complete the original scope of work, which the defendant argued included a real-time computer and full automation.

The court found that the real-time computer and full automation were not part of the original scope of work and that the plaintiff did not abandon the project.

The court awarded the plaintiff $78,559.09 for the outstanding invoices and dismissed the defendant's counterclaim.