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The court ordered costs in the cause following the plaintiffs' successful motion for an interlocutory injunction.
The plaintiffs sought substantial indemnity costs following their successful motion for an interlocutory injunction.
The defendant, Mr. Cabezas, argued that costs should be reserved for the trial judge or significantly reduced.
The court, exercising its discretion under the Courts of Justice Act and Rules of Civil Procedure, ordered costs in the cause.
The decision emphasized that it is generally preferable to reserve costs for interlocutory injunctions to the trial judge, given the absence of a final determination of rights and the plaintiff's undertaking as to damages.
Conflicting positions on factual complexity and proportionality also made it difficult to fix costs at this stage.
The court granted an interlocutory injunction against former employees who misappropriated confidential information to solicit clients using misleading trade names.
The Plaintiffs, Accreditation Canada International and Accreditation Canada, brought a motion to extend and vary an interlocutory injunction against former employees, José Luis Cabezas Guerra and Bieu (Marty) Van Huynh, and their company, Efficiency on Health Services Canada Inc. The Plaintiffs alleged breach of contract, fiduciary duty, and confidence due to the Defendants' use of confidential information and solicitation of clients under misleading trade names.
The court applied the R.J.R. Macdonald test for injunctions, finding a strong prima facie case, irreparable harm, and that the balance of convenience favored the Plaintiffs.
The motion for an interlocutory injunction was granted.
