Olympique CMCT Inc. v. Lorenzo Panarese, et al, Ont. S.C.J., CV-13-489950, April 30/15

  • RE: whether a Quebec Corporation without assets in Ontario can avoid an Order for security for costs where it has realizable assets in Quebec 

In this case we defended a motion for security for costs brought against a Quebec flooring company that was trying to collect on a $228,000.00 debt owing on a Montreal project.  The decision is important in that the defendant was arguing that Quebec had no jurisdiction over the role of an Ontario general contractor, or its principal, in relation to the construction project in Quebec and that he was denied ‘natural justice’ in that province.  The defendant’s motion for security for costs (which is routinely ordered in Ontario where a plaintiff is a non-resident corporation) was dismissed as the plaintiff had a reasonable argument on the merits and as the plaintiff’s assets in Quebec were considered to be sufficient, in the circumstances, in the event the defendant was awarded costs at trial.  The costs of the motion were awarded to the plaintiff