May 27, 2021 – Bad Faith, Costs & Prior Conferences

“Josh objects to costs claimed for conferences and mediation. There are four conferences in which no order for costs were made or reserved (September 22, 2016 adjourning the ex parte motion; December 14, 2016 (adjourning SC/TMC for mediation); August 23, 2016 (SC/TMC, where summer travel to Ireland was addressed); April 11, 2018 (TMC)).

In a case based on false or misleading evidence at the outset — here, the false allegations were raised both in the Application and the ex parte motion — I agree with Justice Price that the costs of related conferences should generally be determined as part of the costs of the action at the conclusion at trial: Kaverimanian v. Kaverimanian, 2013 ONSC 5265 (Ont. S.C.J.) at paras. 29-43. Bad faith allegations shape and may distort the outcome of case, settlement and trial management conferences, reduce the prospect of negotiated settlement or compromise, and lengthen the trial. It is also consistent with Rule 17(18) and 17(18.1), in which costs may be awarded where the conduct of a party “otherwise contributed to the conference being unproductive.” Bad faith and unreasonable conduct, which can be measured only at the end of trial, lead to unproductive conferences.

I have, however, removed the costs associated with the private mediation, which I calculate to be $11,253.67 inclusive of HST and disbursements.”

         Goldstein v. Walsh, 2019 ONSC 3174 (CanLII) at 28-30