Demikon Construction Ltd. v. Oakleigh Holdings Inc.
DEMIKON CONSTRUCTION LTD.
Law Firm / Organization
Kennaley Construction Law
Lawyer(s)

Robert J. Kennaley

OAKLEIGH HOLDINGS INC.
AURELIA LIMITED PARTNERSHIP
WESTMOUNT GUARANTEE SERVICES INC.
Law Firm / Organization
Not Specified
CENTURION MORTGAGE CAPITAL CORPORATION
Law Firm / Organization
Not Specified

Background:

  • The court addressed the issue of costs related to two motions: the "undertakings motion" (decision dated February 16, 2024) and the "security motion" (decision dated April 12, 2024).
  • The Defendants were successful in both motions.

Key Issues:

  1. Undertakings Motion:
    • Defendants sought substantial indemnity costs of $20,712.60.
    • The Plaintiff opposed substantial indemnity, arguing the motion was routine and not vexatious.
  2. Security Motion:
    • Defendants sought costs totaling $258,901.81, including $97,341.87 in disbursements.
    • Plaintiff contested the quantum, arguing:
      • The $83,387.50 disbursement for project review was excessive.
      • The motion was necessary regardless of opposition.
      • Fees sought were excessive.

Court's Decision:

  • Undertakings Motion:
    • Costs awarded on a partial indemnity basis at $15,000. The motion was not unreasonable or oppressive.
  • Security Motion:
    • Legal fees awarded at $110,000, reduced from the $240,000 claimed, plus HST, totaling $174,522.94.
    • The court found the project review fees ($83,387.50) to be excessive, awarding only $41,693.75.
    • Total disbursements were fixed at $50,222.94.

Total Costs Awarded:

  • Plaintiff to pay $15,000 for the undertakings motion and $174,522.94 for the security motion, payable forthwith.
Superior Court of Justice - Ontario
CV-21-615
Civil litigation
$ 189,523
Defendant