The appellants appealed a contempt sentencing order from the Superior Court.
The respondent had brought an action claiming monies advanced to the appellants were not properly disbursed and that the appellants lacked a proper accounting system.
An interim order required the appellants to account for monies received, disclose documents to an appointed accounting firm, and pay unpaid accounts.
The appellants were found in contempt for failing to comply with the accounting and disclosure requirements.
On appeal, the appellants did not contest the contempt finding but challenged the sentencing as based on an erroneous finding that they had not purged their contempt and as disproportionate.
The Court of Appeal allowed the appeal in part, finding the motion judge erred in refusing to admit fresh evidence regarding purge of contempt, and that the sentence was disproportionate.