The defendant brought a motion for security for costs against the plaintiff, a bankruptcy trustee.
The trustee had commenced an action regarding a trust agreement over a residential property.
The court found that the defendant did not require leave to bring the motion despite consenting to the action being set down for trial.
The court also determined that the claim was properly brought in civil court rather than bankruptcy court.
Applying the test for security for costs, the court found that the trustee had insufficient assets and failed to demonstrate impecuniosity, as it had not sought funding from creditors.
The court ordered the trustee to post $25,000 in security for costs.