The Krisko Construction Inc. v. Harper case (2024 NSSC 299) involves a dispute under Nova Scotia’s Builders' Lien Act, where Krisko Construction Inc. ("Krisko") is suing Sheldon and Wesley Harper over a construction project gone wrong. Key points include:

• Background: Sheldon Harper contracted Krisko in 2022 to build a home on his property. However, the project faced delays, and Harper alleges that Krisko failed to correct work deficiencies. Harper directed Krisko to stop work in November 2022 and completed the project using other contractors. Krisko later filed a lien on the property, which was perfected in 2023.
• Counterclaim: The Harpers counterclaimed, winning a default judgment against Krisko for damages, which are yet to be determined.
• Security for Costs Motion: The Defendants (Harpers) sought an order requiring Krisko to provide security for costs, as they feared Krisko would not be able to pay a costs award due to financial issues (e.g., revoked corporate status, inactive PEI registration, unpaid taxes to the CRA).
• Court’s Decision: The court granted the motion, ordering Krisko to provide $28,750 in security for costs to ensure the Defendants can recover legal costs if they win. This was based on Krisko’s financial instability and failure to rebut the presumption that it couldn’t satisfy a costs judgment.

This decision highlights the use of security for costs to protect defendants when a plaintiff's financial situation is precarious.