Sonny Ingram

The appellant appealed a motion judge's decision granting an order for security.

The appellant argued that damages would be an adequate remedy.

The Court of Appeal upheld the motion judge's decision, finding that the respondent had bargained for security, which differs fundamentally from damages.

The appeal was dismissed with costs awarded to the respondent.

Berkley Insurance Company (Applicant) sought a mandatory order compelling Rob Piroli Construction Inc. (Respondent) to honour an undertaking to direct funds into a trust as security for construction lien bonds.

Piroli Construction had breached this undertaking, using the funds to pay subcontractors instead.

The court found that damages would be an inadequate remedy because honouring the undertaking would make Berkley Insurance a secured creditor, unlike an unsecured judgment for damages.

The application for a mandatory order was granted, along with costs.