Facts: OTBEC3 Holdings Inc. (OTBEC) invested in Promintory Developments' real estate project, later filing certificates of pending litigation (CPL) against Promintory’s property, alleging breach of the subscription agreement and seeking equitable interest in the property. The dispute evolved into a counterclaim by Promintory against OTBEC, asserting the CPLs were improperly filed and caused financial losses.
Issue: The main issue was whether OTBEC’s filing of the second CPL was frivolous, vexatious, and an abuse of process, as alleged in Promintory's counterclaim, and whether this claim for damages related to the CPL filing was valid.
Court’s Ruling: The Supreme Court of British Columbia dismissed OTBEC’s application to strike portions of the counterclaim related to the CPL, ruling that Promintory’s claim for damages was not frivolous, vexatious, or prejudicial, and should be determined on its merits. The court found no abuse of process in the timing of Promintory’s claim.
Costs/Damages: The court dismissed OTBEC’s application with costs payable by OTBEC, meaning OTBEC would bear the legal costs related to this application regardless of the outcome of the main litigation. However, the exact amount of costs or damages was not specified in the provided excerpts.
