Carboline Canada Division of RPM Canada v. 11331841 Canada Corp.
CARBOLINE CANADA DIVISION OF RPM CANADA
Law Firm / Organization
Not Specified
Lawyer(s)

Alexander Wilkes

11331841 CANADA CORP. formerly known as TITAN FIREPROOFING CORPORATION
Law Firm / Organization
Not Specified
Lawyer(s)

David Lee

11331841 CANADA CORP. operating as TITAN GROUP
Law Firm / Organization
Not Specified
Lawyer(s)

David Lee

ALIREZA MOGHEI also known as ALI MOGHEI
Law Firm / Organization
Not Specified
Lawyer(s)

David Lee

MEDHI MOWGHEI
Law Firm / Organization
Not Specified
Lawyer(s)

David Lee

Key Issue: 11331841 Canada Corp. (Titan Fireproofing Corp./Titan Group), Alireza Moghei (aka Ali Moghei), and Mehdi Mowghei (Defendants) requested to set aside a Default Judgment, nullify garnishments, and return garnished funds related to $85,941 in unpaid invoices for fireproofing materials.

Background:

  • Default Judgment was entered against the Defendants after they failed to respond to a Statement of Claim for unpaid invoices from 2021.
  • Defendants claim they were not properly served with the Statement of Claim and were unaware of the judgment until their accounts were garnished.

Court Decision:

  • Rule 19.08: Court can set aside a Default Judgment on just terms.
  • Defendants met the criteria:
    1. Filed their motion promptly.
    2. Provided a plausible reason for non-compliance (lack of proper notice).
    3. Presented an arguable defense (13 out of 14 invoices were time-barred under the Limitations Act).
  • No prejudice to the Plaintiff by setting aside the judgment.

Outcome:

  • Default Judgment and garnishments were set aside.
  • Funds garnished (except $3,051 related to one uncontested invoice) were ordered returned.
  • The precise amount for monetary award was not determined.

Next Steps: Defendants granted leave to file a defense.

Superior Court of Justice - Ontario
CV-23-4137
Civil litigation
Defendant