· Background:
The plaintiff, a legal services provider, sought payment from the defendant for services rendered. The trial, conducted in January 2024, resulted in a ruling favoring the plaintiff, with the court assessing the value of the services at $480,919.93, inclusive of fees, HST, and disbursements.
· Cost Submissions:
- The plaintiff sought $276,631.63, based on partial indemnity costs before a February 9, 2023, Offer to Settle and substantial indemnity costs thereafter.
- The defendant objected, arguing that the amount claimed was excessive, lacked sufficient detail, and was not proportional to the nature of the trial.
· Court's Decision on Costs:
- The court agreed with some objections raised by the defendant, particularly about the reasonableness and lack of detail in the plaintiff's cost claims.
- Adjustments were made to the costs, including reductions in fees claimed for drafting pleadings and certain motion costs.
- The final cost award was set at $240,118.50, which included $200,000 for legal fees (a combination of partial and substantial indemnity), $26,000 for HST, and $14,118.50 for disbursements.
· Key Considerations:
- The court emphasized the principles of reasonableness, fairness, and proportionality in awarding costs.
- The decision also took into account previous interlocutory orders and submissions regarding proportionality from similar cases.