Background: ID Inc. sued Toronto Wholesale Produce Association (TWPA) and StrategyCorp for breach of a Sale and Maintenance Agreement (SMA). ID Inc. claimed TWPA breached the SMA by contracting with AllVision for the installation and maintenance of a digital sign, which was subject to the SMA.
Trial Outcome: ID Inc. was successful in proving TWPA's breach of the SMA and was awarded damages of $949,899, with prejudgment interest at the contractual rate amounting to $1,803,244.94. Post-judgment interest was set at a contractual rate of 26.8%.
Costs Claim: ID Inc. sought partial indemnity costs of $715,392.34 against TWPA for the trial and full indemnity costs for a related interest motion. StrategyCorp sought full indemnity costs against ID Inc.
Court Decision on Costs:
ID Inc. was awarded partial indemnity costs of $641,891.65 against TWPA.
StrategyCorp was awarded partial indemnity costs of $665,354.31 against ID Inc.
Factors Considered: The court considered factors like the importance of the case, its complexity, conduct of the parties, and the divided success. The costs were awarded based on these factors and the reasonable expectations of the parties.
Divided Success and Settlement Offers: The court considered the divided success at trial and the settlement offers made. Although TWPA's offer did not trigger the costs consequences under rule 49.10 of the Rules, it was considered in the context of the overall success of ID Inc.
Final Cost Awards: Taking into account the factors and submissions, the court determined the appropriate amount of costs to be awarded to each party, resulting in the final cost orders noted above.
