The appellant, Jazz Air LP, appealed a costs award of $160,000 on a substantial indemnity basis following the dismissal of its motion for an interlocutory injunction against the respondents.
The appellant argued the amount was excessive for a one-day motion and that substantial indemnity was unwarranted.
The Divisional Court dismissed the appeal, finding that the motion judge did not err in principle given the unsubstantiated allegations of conspiracy, the tactical timing of the motion, and the reasonable expectation that the respondents would spare no expense to defend against an injunction that would have catastrophic consequences for their business.