Court File and Parties

Court File No.: CV-218-00606784-0000 Date: 2024-05-03 Superior Court of Justice - Ontario

Re: ALIA NAWAZ and HAQ NAWAZ, Plaintiffs – and – VAULT CAPITAL INC., 2439857 ONTARIO INC., and KEITH JURIANSZ Defendants

Before: Justice E.M. Morgan

Counsel: Alia Nawaz and Haq Nawaz, on their own behalf Chris Donovan, for the Defendant, Keith Juriansz Julian Binavince and Shervin Rismani, for the Defendants, Vault Capital Inc. and 2439857 Ontario Inc.

Heard: Cost submissions in writing

Costs Endorsement

[1] On April 3, 2024, I granted summary judgment in a motion by both sets of Defendants, dismissing the action in its entirety: Nawaz v. Vault Capital Inc., 2024 ONSC 1927. The Defendants had submitted their Bills of Costs prior to the hearing of the motion, but the Plaintiffs had not. I therefore reserved on costs in order to give the Plaintiffs an opportunity to make costs submissions.

[2] I have now received written submissions from Mr. Nawaz, which I understand are submitted on behalf of both Plaintiffs. Although the Plaintiffs were not represented by counsel at the motion before me, they have, according to Mr. Nawaz’ submission, been advised by lawyers at various stages of the proceeding. Mr. Nawaz states that in legal fees and disbursements, the Plaintiffs have incurred costs of $25,000.

[3] The two sets of Defendants have each incurred costs in a similar range. Counsel for Mr. Juriansz seeks $29,000 in partial indemnity costs. Counsel for Vault Capital Inc. and 2439857 Ontario Inc. (the “Corporate Defendants”) seek $20,409 not including their attendance at the motion, which I would estimate would add another $5,000 to their costs request.

[4] Costs are discretionary under section 131 of the Courts of Justice Act. Rule 57.01(1)(0.a) provides that costs are to take into account the principle of indemnity for the successful party, while Rule 57.01(1)(0.b) provides that costs are to be fixed at a level which would not take the unsuccessful party by surprise.

[5] Mr. Nawaz indicates in his written submission that he was surprised at the outcome of the motion. I take him to mean that he was hopeful of a better result on the merits, not that he was surprised at the level of costs requested by the Defendants. After all, they are requesting approximately the same amount that he says that the Plaintiffs incurred in this action.

[6] That said, Mr. Nawaz also described the state of financial troubles that he and Ms. Nawaz have faced as a result of the matters leading up to the present litigation. As I indicated in my reasons for decision on summary judgment, I have considerable sympathy for their plight: Ibid., at para. 21. Although the Defendants have done nothing wrong and deserve some costs, it is undeniable that the Plaintiffs have undergone a series of financial setbacks and are economically distressed.

[7] I will therefore exercise my discretion to reduce the amount of costs payable to the Defendants. Again, this does not reflect on the Defendants’ position in the litigation or the time and effort invested by their counsel. Both sets of Defendants’ counsel did an excellent job and put in the right amount of time to defend their clients’ interests.

[8] The Plaintiffs shall pay Mr. Juriansz costs in the amount of $15,000. The Plaintiffs shall also pay the Corporate Defendants costs in the amount of $15,000. Both of these amounts are inclusive of all fees, disbursements, and HST.

Date: May 3, 2024 Morgan J.