Key Points:

• Defendant’s Motion: Request for the plaintiff to post security for costs under Rule 56.01(1)(d), citing the plaintiff's insufficient assets in Ontario.
• Plaintiff’s Financial State:
  • Sole-purpose corporation.
  • Sold its only asset in August 2023, leaving a balance of $9,830.47 after paying debts.
  • Claimed impecuniosity.

Court's Analysis and Decision:

1. Insufficient Evidence of Impecuniosity:
   • Plaintiff did not provide comprehensive financial disclosure.
   • Incomplete details about shareholders and principal's assets.
   • Evidence showed the principal had an investment account with $156,408.77, contradicting claims of inability to pay.
   • Plaintiff must show it cannot raise funds from shareholders, which was not convincingly demonstrated.
2. Merits of the Case:
   • Plaintiff alleges negligence by the defendant (their solicitor) in lease negotiations.
   • Defendant denies negligence and raises a limitations defense.
   • Court finds the merits to be neutral due to credibility issues and complex factual disputes.
3. Quantum of Costs:
   • Security for past costs: $13,729.22 (to be posted within 30 days).
   • Security for future steps: $72,944.33, with staged payments by specified dates.
   • Security for trial preparation and costs: $38,103.60 by January 15, 2025.
   • Security for disbursements: $18,645 by December 31, 2024.
   • Costs of the motion: Plaintiff to pay $5,556.78 within 30 days.

Conclusion:

• The plaintiff is required to post security for costs due to insufficient proof of impecuniosity and a neutral assessment of the case's merits.
• The court emphasizes the need for rigorous financial disclosure and finds the motion just and appropriate in the circumstances.