Date:
20061026
Docket:
T-1779-05
Citation:
2006 FC 1293
BETWEEN:
JOHN
STAGLIANO, INC.,
JULES
JORDAN VIDEO, INC.
and
ASHLEY GASPER
Plaintiffs
and
ALAIN ELMALEH, JACKY ELKESLASSY,
GERALD
OUZZAN, 144942 CANADA INC.
(cob
KAYTEL VIDEO DISTRIBUTION),
LEISURE
TIME CANADA INC.,
TRANSWORLD
SALES AGENCY LTD.,
JACKY'S
ONE STOP DISTRIBUTION INC.,
SYLNET
DISTRIBUTION INC.,
JOHN
DOE, JANE DOE and OTHER PERSONS,
NAMES
UNKNOWN, WHO DEAL IN UNAUTHORIZED
OR
COUNTERFEIT EA MERCHANDISE
Defendants
and
ALAIN
ELMALEH ET 144942 CANADA INC.
(cob
KAYTEL VIDEO DISTRIBUTION)
Plaintiffs
by Counterclaim
and
JOHN
STAGLIANO, INC., JULES JORDAN VIDEO, INC.,
ASHLEY
GASPER, SABIN BRUNET ET JACKY ELKESLASSY
Defendants by Counterclaim
ASSESSMENT OF COSTS – REASONS
MICHELLE LAMY, ASSESSMENT OFFICER
[1]
On June 27, 2006, the defendants Alain Elmaleh
and 144942 Canada Inc. filed a bill of costs following the order of the Court
dated May 10, 2006, dismissing the defendants’ motion to extend an
interlocutory injunction.
[2]
In their written representations, counsel for
the defendants take the position that the assessment is premature, because the
order of May 10, 2006, does not provide that the costs are payable forthwith.
This was noted by Prothonotary Morneau in paragraph 6 of his order dated
September 14, 2006, following a motion by the defendants for security:
WHEREAS, in addition and most importantly, on May 10,
2006, the Court did not order —despite being invited to do so by counsel
for the defendants—that any amount of costs ordered by the Court—under
subsection 401(2) of the Rules or on any other basis—be payable forthwith.
[3]
In light of the decision in Waterfurnace Inc.
v. 803943 Ontario Ltd., [1991] F.C.J. No. 912 (F.C.T.D.), the case law
provides that costs awarded on an interlocutory motion are not payable until
the Court has ruled on the merits of the action, unless the Court orders
otherwise.
[4]
In my view, an order under subsection 401(2) of
the Federal Courts Rules must be clear, so that the assessment officer
has the authority to proceed with assessing the costs. I disagree with the
submission of defendants’ counsel that the Court, by implication, ordered the
costs to be payable forthwith.
[5]
Under the circumstances, the assessment of the
defendants’ bill of costs filed on June 27 will not take place at this
stage of the proceedings.
MONTRÉAL, QUEBEC, OCTOBER 26, 2006
|
Signed:
“Michelle Lamy”
|
|
MICHELLE
LAMY
ASSESSMENT
OFFICER
|
Mary Jo Egan, LLB