9 Jun 2023
Prasher Steel Ltd v BWK Construction Company Limited and Peel District School Board
In the case of Prasher Steel Ltd v BWK Construction Company Limited and Peel District School Board dated June 9, 2023, the defendant, B.W.K. Construction Company Limited ("BWK"), was the successful party in a contract dispute against the plaintiff, Prasher Steel Ltd. ("Prasher"), which lasted from August 2012 to February 22, 2023.
During the proceedings, BWK asked for their full indemnity costs of $142,679.47, or alternatively, costs based on their Rule 49 Offer of $113,276.42. Prasher argued for no costs payable, claiming divided success, which the court rejected, ruling that BWK was wholly successful and entitled to their costs against Prasher. BWK further sought to hold Manoj Prasher personally liable for costs, but the court declined this request since no claims were made against him in the proceedings, and no findings were made regarding his post-claim business practices.
The court considered various factors for determining costs, including Rule 49 and Section 86 of the Construction Lien Act. BWK made multiple offers to settle before and during the trial, while Prasher never made any settlement offer, leading to the conclusion that Prasher engaged in unreasonable litigation conduct.
In the end, the court awarded BWK substantial indemnity costs throughout the proceedings, totaling $135,000, which were deemed fair, reasonable, and proportionate given the ten-year duration of the case and the efforts made by BWK to resolve the dispute.