Overview:
The defendants, Gurmit Singh and several corporations, sought an injunction to prevent the plaintiff, Pembroke Developments Inc., from selling a property, 2657 Torres Pines Way, under a power of sale. The sale followed the defendants' default on a $200,000 loan secured by multiple properties.
Key Legal Issues:
- Mortgage Default: The loan has been in default since November 2023. The defendants argued the terms of the promissory note were unconscionable.
- Injunction: The defendants wanted to halt the sale of the property, arguing that the mortgage was invalid and that they hadn’t received proper notice of the sale.
Arguments:
- Defendants:
- Asserted the promissory note was obtained under questionable terms, without proper advice.
- Claimed the property sale was improper and lacked their spouse's consent, which violated Ontario’s Mortgages Act.
- Plaintiff:
- Argued that the defendants were trying to delay the sale unjustifiably, as they had defaulted, and their arguments lacked merit.
Court’s Findings:
- Serious Issue to Be Tried: The court found the defendants’ claims lacked sufficient evidence to warrant an injunction.
- Irreparable Harm: The court was not convinced that selling the property would cause harm that couldn't be remedied by damages.
- Balance of Convenience: The balance favored the plaintiff since the property sale had progressed, and there was no redemption plan from the defendants.
Outcome:
- The motion for an injunction was dismissed. The sale of the property can proceed.
- No monetary award was specified.
Next Steps:
- Parties to submit cost submissions if unable to agree on costs.
