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Class certification granted, subject to amendments, in a proposed class action alleging Merchant Law Group misused $500 retainers and made pay-to-play misrepresentations.
The court awarded special costs against all defendants, jointly and severally, finding reprehensible litigation conduct including late admissions, disclosure failures, and false testimony.
The court dismissed summary judgment on an oral loan dispute because key terms were disputed and the evidence could not be weighed on the application.
The Court of Appeal granted security for appeal costs and stayed the appeal, but refused security for trial costs because the appeal was arguable and enforcement risk was not shown.
Costs ruling after trial: special costs were refused, PoCo and Mr. Familamiri were ordered to bear their own costs, and no costs were awarded on the dismissed claim against 077.
Hottman (Bankruptcy of)
The court held that a judgment debt arising from misappropriation of mortgage funds fell within s. 178(1)(d) of the Bankruptcy and Insolvency Act and survived discharge.
Appellate court upheld the trial judge’s factual finding that the Stonehedge group included Stonehedge Investments and that the $200,000 advance from Stonehedge Investments formed part of the Stonehedge group’s permanent equity; that finding defeated the appellants’ claim of material nondisclosure, fraud or fiduciary breach; applications for fresh evidence and amendment were denied as irrelevant or available with due diligence; appellate deference to trial judge’s credibility findings was appropriate, and solicitor-and-client costs awarded at trial were upheld while one discrete unargued issu…
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