Redabe Holdings Inc. v. I.C.I. Construction Corporation

Redabe Holdings Inc. v. I.C.I. Construction Corporation

The motion judge did not err in exercising discretion to dismiss the motion to set aside because the respondent had, unknown to the appellant, supported the default judgment motion with affidavit evidence from which the judge could infer the appellant acknowledged the debt; that acknowledgement together with the appellant's deliberate delay justified refusing to set aside the default judgment and there was no overriding or palpable error of law or discretion on appeal.

Citation
2017 ONCA 808
Parties
Plaintiff (respondent): Redabe Holdings Inc.; Defendant (appellant): I.C.I. Construction Corporation; Defendant (appellant): Glenn Steven Abugov; Defendant (appellant): Luc Stang
Court
Court of Appeal for Ontario
Jurisdiction
Canada
Judgment Date
24 October 2017
Procedural Posture
Collection / Appeal From Motion to Set Aside Default Judgment
Outcome
Appeal dismissed
Legal Topics
Default Judgment, Setting Aside Judgment, Personal Guarantee, Statute of Frauds, Garnishment, Rules of Civil Procedure
Source Language
English
Civil Debt Collection Civil Procedure Default Judgment Setting Aside Judgment Personal Guarantee Statute of Frauds Garnishment +1 more

Case Brief

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Parties

Redabe Holdings Inc.

Plaintiff (respondent)

I.C.I. Construction Corporation

Defendant (appellant)

Glenn Steven Abugov

Defendant (appellant)

Luc Stang

Defendant (appellant)

Procedural Posture

Collection / Appeal From Motion to Set Aside Default Judgment

Legal Issues

  1. 1 Whether the default judgment was irregularly obtained
  2. 2 Whether the motion judge erred in refusing to set aside the default judgment
  3. 3 Whether an oral guarantee pleaded in the statement of claim could, on its face, entitle the plaintiff to judgment under r.19.06

Ratio Decidendi

The motion judge did not err in exercising discretion to dismiss the motion to set aside because the respondent had, unknown to the appellant, supported the default judgment motion with affidavit evidence from which the judge could infer the appellant acknowledged the debt; that acknowledgement together with the appellant's deliberate delay justified refusing to set aside the default judgment and there was no overriding or palpable error of law or discretion on appeal.

Court Disposition

Appeal dismissed

Orders

  • Appeal dismissed
  • No order as to costs