Susan Ungar

Following the release of its decision on the merits, the Court of Appeal considered costs submissions.

The court noted that at first instance, the parties did not suggest that no costs should be awarded because it was a case of first impression.

The court set aside the lower court's costs order of $10,000 to the respondent and instead awarded the appellant $10,000 for the proceedings at first instance.

The appellant was also awarded $15,000 for the costs of the appeal.

The plaintiff appealed an order striking its claim against the City of Toronto as statute-barred under the 15-year ultimate limitation period of the Limitations Act, 2002.

The alleged negligent act occurred over 27 years ago, but the plaintiff only discovered the claim in May 2004.

The Court of Appeal allowed the appeal, holding that under the transition provision in s. 24(5) Rule 1, because the claim was discovered after the Act came into force on January 1, 2004, the 15-year ultimate limitation period began running on that effective date.

Therefore, the claim was not statute-barred.