Mauldin v. Cassels Brock & Blackwell LLP

Mauldin v. Cassels Brock & Blackwell LLP

Court upheld summary judgment against Hryniak in Mauldin but allowed Hryniak's appeal in Bruno; it refused to release the letter of credit pending the SCC appeal; it set aside the motion judge's costs order in favour of Bruno and the Sanderson order as to Bruno (Bruno must bear previously reduced co-defendant costs), reserved quantification of Hryniak's recoverable costs for the Bruno motion to the trial judge, and awarded appellate costs of $32,000 (inclusive) to each of Mauldin (from Hryniak) and Hryniak (from Bruno appeal).

Citation
2013 ONCA 307
Parties
Plaintiffs (respondents): Fred Mauldin et al.; Plaintiff (respondent): Bruno Appliance and Furniture, Inc.; Defendant (appellant): Cassels Brock & Blackwell LLP; Defendant (appellant): Gregory Jack Peebles; Defendant (appellant): Robert Hryniak
Court
Court of Appeal for Ontario
Jurisdiction
Canada
Judgment Date
8 May 2013
Procedural Posture
Appeal From Summary Judgment Motions / Costs Endorsement and Ancillary Procedural Orders on Appeal (letter of Credit; Sanderson Order)
Outcome
Appeal dismissed in part and allowed in part: summary judgment against Hryniak in Mauldin upheld; summary judgment against Hryniak in Bruno set aside; letter of credit not released; costs adjusted accordingly.
Legal Topics
Rule 20 Summary Judgment, Sanderson/bullock Orders, Allocation of Costs, Partial Vs Substantial Indemnity Costs, Use and Disposition of Letters of Credit Pending Appeal
Source Language
English
Civil Procedure Costs Appeal Civil Fraud Security for Costs/letters of Credit Rule 20 Summary Judgment Sanderson/bullock Orders Allocation of Costs +2 more

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Parties

Fred Mauldin et al.

Plaintiffs (respondents)

Bruno Appliance and Furniture, Inc.

Plaintiff (respondent)

Cassels Brock & Blackwell LLP

Defendant (appellant)

Gregory Jack Peebles

Defendant (appellant)

Robert Hryniak

Defendant (appellant)

Procedural Posture

Appeal From Summary Judgment Motions / Costs Endorsement and Ancillary Procedural Orders on Appeal (letter of Credit; Sanderson Order)

Legal Issues

  1. 1 Whether summary judgment was properly granted under the amended Rule 20
  2. 2 How costs should be allocated between plaintiffs and co-defendants following mixed success on motions and appeals
  3. 3 Whether a Sanderson order is appropriate where a plaintiff failed against all defendants on a motion

Ratio Decidendi

Court upheld summary judgment against Hryniak in Mauldin but allowed Hryniak's appeal in Bruno; it refused to release the letter of credit pending the SCC appeal; it set aside the motion judge's costs order in favour of Bruno and the Sanderson order as to Bruno (Bruno must bear previously reduced co-defendant costs), reserved quantification of Hryniak's recoverable costs for the Bruno motion to the trial judge, and awarded appellate costs of $32,000 (inclusive) to each of Mauldin (from Hryniak) and Hryniak (from Bruno appeal).

Court Disposition

Appeal dismissed in part and allowed in part: summary judgment against Hryniak in Mauldin upheld; summary judgment against Hryniak in Bruno set aside; letter of credit not released; costs adjusted accordingly.

Orders

  • Do not release proceeds of the $950,000 letter of credit pending disposition of the Supreme Court of Canada appeal
  • Motion judge's costs order in favour of Bruno set aside; Hryniak to receive his costs of Bruno's summary judgment motion, quantum reserved to the trial judge