Canada Judgment

Supreme Court of British Columbia

Waters v. Bains

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Source document

01

Holding and result

Because the cause of action continued beyond June 1, 1974 punitive damages are a pecuniary judgment under the Court Order Interest Act and prejudgment interest applies; the court exercised its discretion to fix an appropriate rate and awarded 3% per annum from June 2, 1974 to June 25, 2008.

Court disposition

Prejudgment interest awarded on punitive damages.

Orders

  • Prejudgment interest on punitive damages of $80,000 awarded at 3% per annum from June 2, 1974 to June 25, 2008.

02

Material facts

Parties

Karamjeet Kour Singh (also known as Karamjeet Kour Waters)

Plaintiff Counsel: C. Frederick Easton

Joginder Singh Bains (also known as Giani Joginder Singh Bains)

Defendant Counsel: Bernie S. Buettner; G. Jack Harris, Q.C.

Darshan Kaur Bains

Defendant Counsel: Bernie S. Buettner; G. Jack Harris, Q.C.

Amounts and remedies

  • Punitive Damages Awarded: CAD 80,000
  • Prejudgment Interest Rate Awarded (per Annum): % 3

03

Procedural history

  1. Posture

    Civil Tort / Damages Assessment (prejudgment Interest Determination)

04

Questions and positions

Legal issues

Party arguments

Applicant
Plaintiff submitted punitive damages are a pecuniary judgment and sought prejudgment interest from June 1, 1974 to judgment, proposing a rate similar to S.Y. v. F.G.C. (5%).
Respondent
Defendants argued for a nominal rate (no greater than 0.1% per annum) relying on Osborne v. Harper; parties agreed there is no longer a statutory minimum rate.

05

Court’s reasoning

  1. 01

    Court Order Interest Act, R.S.B.C. 1996, c.79, s.1

    A court must add interest to pecuniary judgments; punitive damages qualify as pecuniary judgments.

  2. 02

    Court Order Interest Act, R.S.B.C. 1996, c.79, s.6

    The Act does not apply to causes of action that arose entirely before June 1, 1974.

  3. 03

    Court Order Interest Act, R.S.B.C. 1996, c.79, s.1(1); case law (Osborne v. Harper, 2006 BCSC 51)

    The court has discretion to fix an appropriate prejudgment interest rate where the Act provides no minimum.

06

Ratio, limits and disposition

Ratio decidendi

Because the cause of action continued beyond June 1, 1974 punitive damages are a pecuniary judgment under the Court Order Interest Act and prejudgment interest applies; the court exercised its discretion to fix an appropriate rate and awarded 3% per annum from June 2, 1974 to June 25, 2008.

Obiter and limits

  • There is no longer a minimum statutory rate under the Act.
  • S.Y. v. F.G.C. (1997) was a persuasive comparison for higher rates in serious abuse cases.
  • Defendants' reliance on Osborne v. Harper supported a lower rate but was rejected as too low in this case.

Court disposition

Prejudgment interest awarded on punitive damages.

  • Prejudgment interest on punitive damages of $80,000 awarded at 3% per annum from June 2, 1974 to June 25, 2008.

Source and reliance status

Supreme Court of British Columbia · 3 March 2009

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Judgment reading view

Judgment text

The complete available source text.

Source document

Supreme Court of British Columbia

Judgment· 3 March 2009

2009 BCSC 286

2009 BCSC 286 Waters v. Bains

IN THE SUPREME COURT OF BRITISH COLUMBIA Citation: Waters v. Bains, 2009 BCSC 286 Date: 20090304 Docket: S050256 Registry: Vancouver Between: Karamjeet Kour Singh also known as Karamjeet Kour Waters Plaintiff And Joginder Singh Bains also known as Giani Joginder Singh Bains, and Darshan Kaur Bains Defendants Before: The Honourable Madam Justice Morrison Reasons for Judgment Counsel for the Plaintiff C. Frederick Easton Counsel for the Defendants Bernie S. Buettner G. Jack Harris, Q.C. Date and Place of Hearing: February 5, 2009 Vancouver, B.C. [1] Further to the decision on damages which was rendered in this court on June 25, 2008 (Waters v. Bains, 2008 BCSC 823), counsel for the plaintiff now seeks a decision on the amount of Court Order Interest to be awarded to the plaintiff from the date of June 1, 1974 to the present. [2] This relates to the issue of prejudgment interest on the punitive damages only. Punitive damages of $80,000 were awarded in the judgment of June 25, 2008. [3] Section 1 of the Court Order Interest Act, R.S.B.C. 1996, c. 79, provides that a court must add to a pecuniary judgment an amount of interest. Punitive damages come within the definition of a pecuniary judgment. [4] Section 6 of the Act establishes that this does not apply to a cause of action that arose prior to June 1, 1974. The plaintiff submits that the cause of action commenced at some date in

1967, but continued beyond June 1, 1974. Therefore, the interest would commence June 1, 1974 and continue to the date of final judgment. [5] Section 1(1) of the Act provides that the prejudgment interest is to be at a rate that the court considers appropriate. [6] The defendants had suggested that the interest rate should be no greater than 1/10th of 1% per annum. This was relying upon the decision in Osborne v. Harper, 2006 BCSC 51. [7] Counsel for the plaintiff points out there is no longer a minimum rate of interest provided for in the Act. Counsel for the defence agree. In suggesting that this court should fix an appropriate rate in all the circumstances, counsel for the plaintiff suggests a rate of interest similar to the amount awarded in the decision of Mr. Justice Bouck in S.Y. v. F.G.C. (1997), 32 B.C.L.R. (3d) 235 (S.C.), 5%. [8] That was a case where the plaintiff had been sexually and physically abused by her stepfather over a period of eleven years. [9] In my view it is appropriate to fix a higher rate than in Osborne v. Harper; prejudgment interest will be awarded from June 2, 1974 to June 25, 2008 at the rate of 3%. "Morrison J."

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Authorities

Authorities used by the court

Cases, legislation, regulations, and constitutional provisions identified in the available record.

Waters v. Bains, 2008 BCSC 823

Case cited

Osborne v. Harper, 2006 BCSC 51

Case cited

S.Y. v. F.G.C., (1997) 32 B.C.L.R. (3d) 235 (S.C.)

Case cited

Waters v. Bains, 2009 BCSC 286

Case cited

Court Order Interest Act, R.S.B.C. 1996, c.79 (ss.1,1(1),6)

Legislation

Legislation referenced in the available case record.

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