4.31: Application to deal with delay
14.5: Appeals only with permission

Case Summary

The Applicant sought leave to Appeal a Decision denying their request to permanently Stay a civil Contempt proceeding because of long delay. The Applicant was an undischarged bankrupt in an Action started in 2011, as the Court rejected his proposal under Part III, Division I of the Bankruptcy and Insolvency Act, RSC, 1985, c B-3 (the “BIA”). The Applicant was directed by Court Order to prepare and serve Affidavits of Records in the bankruptcy Action on behalf of themself and certain companies by January 2014. The Applicant was later found in civil Contempt for failing to comply with the Court Order and was subsequently sanctioned at a later date.

The Court had to first determine whether the Applicant needed leave to Appeal. Pursuant to s. 193(e) of the BIA and Rule 14.5(1)(f), the Court concluded that leave to Appeal was required in the matter.

Thus, the Court turned its attention to the Rule 4.31 Application. The Court concluded that Rule 4.31 contemplates dismissing all or part of a claim, which in this case was the bankruptcy Action. Since the Applicant was seeking a Stay of the civil Contempt proceedings, and not the dismissal of all or part of the Action, the Court ruled that Rule 4.31 had no Application and denied leave to Appeal.

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