The case involved a dispute over the ownership of a dog.
The court had previously ordered that the dog belonged to the applicant estate and must be returned by March 15, 2024.
Procedural History:
The application was intensely contested, involving significant documentation and numerous affidavits and cross-examinations.
Cost Submissions:
Applicant’s Request:
Full indemnity: $212,025.52
Substantial indemnity: $191,335.61
Partial indemnity: $129,345.90
Respondent’s Costs:
Substantial indemnity: $55,395.77
Partial indemnity: $37,795.74
Legal Principles:
Costs are discretionary under section 131 of the Courts of Justice Act.
Costs should follow the event, be proportional, and reasonable for the losing party to pay.
Proportionality should be balanced with the principle of indemnity.
Court’s Analysis:
The court considered factors such as the experience of counsel, reasonable expectations, amount claimed and recovered, complexity of the proceeding, importance of issues, conduct of the parties, and offers to settle.
Both parties engaged in aggressive and uncompromising litigation, incurring high costs.
The offers to settle were not in accordance with Rule 49, thus not affecting cost decisions significantly.
Decision on Costs:
The court found partial indemnity appropriate.
Total legal costs of over $265,000 were deemed disproportionate.
Awarded costs of $83,570 to the applicant, which balances partial indemnity costs incurred by both parties and aligns with fairness and reasonableness.
Order:
Respondent to pay the applicant $83,570 within 30 days.
