Following an extensive family law trial involving property division, business ownership, support, and tort claims between former spouses, the court considered competing claims for costs.
The respondent argued he was substantially successful and relied on a prior offer to settle, while the applicant sought substantial indemnity costs alleging misconduct, fraud, and disclosure failures during litigation.
The court found the respondent was largely successful on major issues but had behaved unreasonably during the proceedings, contributing to mistrust and prolonged litigation.
Applying the Family Law Rules, the court held that the respondent should be deprived of costs but that the conduct did not amount to bad faith warranting an award of costs against him.
Given the conduct of both parties and the overall circumstances, the court ordered that each party bear their own costs.
