In an Action in respect of a mortgage dispute, the Defendant opposed the Plaintiff’s Claim for solicitor-client Costs arising from its successful Application for the appointment of a receiver to manage the mortgaged property. Justice Yamauchi cited Rules 10.9, 10.29(1)(a), 10.31 and 10.33, and stated that there can be no doubt that the Court retains discretion to award Costs.

The Defendant conceded that the Plaintiff was entitled to solicitor-client Costs for commencing the Action and for duties surrounding the net rentals of the property. The Court also allowed the Plaintiff its solicitor-client Costs for the issuance of demand letters and a notice of intention to enforce security pursuant to s. 244(i) of the Bankruptcy and Insolvency Act, RSC 1985, c B-3. Taking into consideration the cumulative effect of the factors before the Court, Yamauchi J. found that the Plaintiff was not entitled to its solicitor-client Costs beyond those steps.