Simon Regimbald

The plaintiff condominium corporation brought a motion for summary judgment to enforce a lien against the defendant unit owner for over $34,000 in legal costs incurred defending a Small Claims Court action, plus over $50,000 in costs for the current action.

The dispute originated from a $330 plumbing bill.

The court found that the defendant had paid all outstanding arrears and anticipated discharge costs early in the dispute, obligating the corporation to discharge the lien under s. 85 of the Condominium Act.

The court held the corporation's refusal to discharge the lien was unjustified and its claimed legal fees were grossly disproportionate and unreasonable.

The action was dismissed, and the lien and notice of sale were declared invalid.

Following the dismissal of the plaintiff's motion for a certificate of pending litigation, the successful defendant sought costs.

The plaintiff argued costs should be reserved to the trial judge or reduced.

The court rejected the plaintiff's arguments, finding it appropriate to fix costs immediately.

Because the defendant had made an offer to settle that was as favourable as the outcome, the court awarded partial indemnity costs up to the date of the offer and substantial indemnity costs thereafter, fixing the total costs at $30,655.83.