Background: Norseyl Properties Ltd. and AXA Consulting Services Inc. (plaintiffs) sued Mirage Trading Corporation (defendant) for specific performance of alleged agreements regarding Mirage's 10% shareholding in Tecknocan Properties Inc. The plaintiffs sought a declaration of beneficial ownership or an order for share transfer, alleging breach of trust and contract.

Legal Issues: The plaintiffs claimed that Mirage agreed to transfer a 5% interest in Tecknocan, equating to approximately 14,504,204 UAE dirham (~$5 million CAD), to settle a debt. A trust agreement was purportedly made for the share transfer to the plaintiffs and Pan Pacific Business Corporation. Mirage contested, arguing no consideration was paid to trigger the obligation to transfer shares.

Third-Party Notice: Mirage issued a third-party notice against Tecknocan Properties Inc. and Rouzbeh Rabiei, claiming issues related to shareholder loans and alleged fraud by Rabiei in manipulating financial records.

Application to Strike: Tecknocan and Rabiei sought to strike the third-party notice. The court assessed whether the third-party claims were sufficiently connected to the main action. It found the claims were only tenuously related and would prejudice the third parties.

Conclusion: The court granted the application to strike the third-party notice, noting that including these claims would extend the litigation unnecessarily and complicate the main action.

Costs: Tecknocan Properties Inc. and Rouzbeh Rabiei were awarded costs against Mirage Trading Corporation on Scale B. The plaintiffs' costs were to be addressed in the cause of the main action. Total amount of costs awarded to the successful parties was not specified in the document.