Overview

• Plaintiffs Isaac Maresky and Gainsborough Capital Corp. sought summary judgment for damages in lieu of specific performance of stock options.
• Defendants Enthusiast Gaming Inc. and Enthusiast Gaming Holdings Inc. opposed, arguing the claims were res judicata.
• Enthusiast sought a “boomerang” summary judgment to dismiss the plaintiffs' claim.
• Decision: Plaintiffs’ motion was dismissed; Enthusiast’s motion was granted, and the case was dismissed.

Key Facts

• Maresky provided consulting services to Enthusiast in 2018 to help the company go public.
• July 23, 2018: Enthusiast terminated Maresky’s engagement before the public offering on October 4, 2018.
• 2020 Application: Justice Steele ruled that Enthusiast had agreed to grant Maresky 219,399 stock options, which vested immediately.
• Steele awarded $173,325.21 in damages for these options.
• Maresky then sued for additional stock options, shares, and breach of contract.

Court’s Analysis

1. Res Judicata: Claims should have been included in the 2020 case. Courts prohibit litigating in instalments.
2. No Breach of Contract: No fixed-term agreement existed. The vesting schedule required continued engagement.
3. Final Ruling: Enthusiast’s motion was granted, dismissing all claims.

Costs

• The court encouraged parties to agree on costs; otherwise, written submissions were permitted.
• No additional damages were granted in this case.