The defendants brought a motion to set aside a default judgment granting the plaintiff possession of mortgaged property.
The court applied the test from Bayview Financial, L.P. v. Spartan Collision Corporation, requiring promptness in bringing the motion, a plausible explanation for the default, and an arguable defence on the merits.
Although the defendants provided a plausible explanation for the delay and moved relatively promptly after learning of the judgment, they failed to demonstrate a genuine or arguable defence to the mortgage default claim.
The motion to set aside the default judgment was therefore dismissed.
However, the court temporarily restrained enforcement of the judgment for 20 days to allow the defendants time to finalize financing to satisfy the debt and made no order as to costs.