The Defendant guaranteed a corporate loan which was made by the Plaintiff to a corporation owned in part by the Defendant’s daughter. A collateral mortgage was provided on the Defendant’s property and the Plaintiff sought to foreclose upon default of the loan. After a series of failed Applications by the Defendant, the Plaintiff now seeks Costs on either a full indemnity basis or two times Column 5 of Schedule C of the Rules. The Defendant did not reply to the Application for Costs.

Pursuant to Rule 10.33(2), Justice Shelley considered the Defendant’s misconduct during the proceedings, which included collateral attacks on Orders that were not appealed, tactics to lengthen the litigation, and serious allegations of dishonesty and misrepresentation. In addition, Her Ladyship noted that the Defendant’s guarantee provided for Costs as between the Plaintiff and its solicitors. Pursuant to Rule 10.31(1), Justice Shelley awarded Costs on a full indemnity basis and directed any disputed items to be referred to the Review Officer.