This endorsement addresses the question of costs following a trial where the plaintiff, Iris R. Powell, recovered $26,700 plus interest against one defendant, Mohamed Afzal Sahadat, but her action was dismissed against other defendants and her co-plaintiff's action was dismissed entirely.
The defendants' counterclaim was also dismissed.
The court applied the principles of costs, including indemnity, encouraging settlements, and discouraging inappropriate behaviour, as well as the factors under Rule 57.01.
The court rejected the defendants' argument that the action should have been brought in Small Claims Court, as Ms. Powell's recovery exceeded the monetary limit.
Ms. Powell's costs against Mr. Sahadat were discounted due to her partial success (unsuccessful on a major claim for business losses) and the complexity she contributed.
Similarly, the costs awarded to the successful defendants (Ishan Dhanapala, Dhana Corporation, and First Financial Consulting Services (FFCS) Ltd.) against Ms. Powell were discounted due to their contribution to the trial's complexity and their unsupportable counterclaim.
The court declined to award personal costs against Ms. Powell's counsel, citing the principle of extreme caution.
Ultimately, Mr. Sahadat was ordered to pay Ms. Powell $19,000 in costs, and Ms. Powell was ordered to pay Ishan Dhanapala, Dhana Corporation, and First Financial Consulting Services (FFCS) Ltd. $23,450 in costs.
