Date: 20080721
Docket: T-776-07
Citation: 2008
FC 894
Toronto, Ontario, July 21, 2008
PRESENT: The Honourable Mr. Justice Mandamin
BETWEEN:
HAROLD COOMBS
Appellant
and
HER MAJESTY THE QUEEN
Respondent
REASONS FOR ORDER AND ORDER
[1]
The
plaintiff appeals the Prothonotary’s order to provide security for costs.
[2]
The
plaintiff commenced two actions and has brought seven applications since
February 8, 2007. The defendant has successfully applied to have all
applications struck on the grounds of timeliness or lack of the Court’s
jurisdiction to hear them. The plaintiff has discontinued one action. The
defendant brought a motion to strike the remaining statement of claim and the
plaintiff subsequently amended his statement of claim.
[3]
The
plaintiff owes court costs of $4,750.00 as a result of orders dismissing the
applications, $2,250.00 of which came in three proceedings where the Court
ordered costs to be paid forthwith. A further Bill of Costs relating to the
discontinued action is outstanding is the amount $987.92. None of the orders
for costs have been paid.
[4]
The
defendant applied for an order for security of costs pursuant to section 416
(1)(f) of the Federal Court Rules. The Prothonotary granted an order for
security for costs of $10,000.00 up to and including examination for discovery.
The plaintiff now appeals this order.
[5]
The
plaintiff appeals the order for security for costs on the basis that the
Prothonotary erred:
a. By not following the principle
of stare decisis;
b. By inappropriate application
of Rule 416 (2) of the Federal Court Rules;
c. By indiscriminately drawing
false conclusions and making false assumptions relating to the plaintiff’s
affidavit material; and
d. Such other grounds that may be
submitted.
[6]
The
standard of review of a Prothonotary’s discretionary order involves a high
degree of deference. The order should not be disturbed on appeal unless:
a. It is based on a wrong
principle or misapprehension of the facts; or
b. It raises a question vital to
the final issue to the case. (Merck & Co. v. Apotex Inc., [2003] F.C.J.
No. 1925 paragraphs 17 to 19)
I. Wrong Principle or Misapprehension of the Facts
[7]
The
Prothonotary correctly noted unpaid cost orders place the plaintiff under the
category set out in Rule 416 (1)(f). The defendant was prima facie entitled
to security for costs unless the plaintiff can establish impecuniosity under
Rule 417.
II. Impecuniosity
[8]
The
plaintiff asserted before the Prothonotary, and in this appeal, that he is
impecunious. He does so by simple assertion without confirmatory evidence
establishing impecuniosity. The Prothonotary correctly applied the test in Heli Tech Services (Canada) Ltd. v. Weyerhaeuser
Co., [2006]
F.C.J. No. 1494 at paragraph 8,
where Justice Campbell stated:
As to the evidence required to prove
impecuniosity, a high standard is expected; frank and full disclosure is
required. That is, the onus must be discharged with “robust particularity”, so
that “there be no unanswered material questions (Morton v. Canada (Attorney General) (2005), 75
O.R. (3d) 63 (S.C.J.) at para. 32)
[9]
The
plaintiff has not met the high standard of proof required to prove
impecuniosity and the Prothonotary was not under any obligation to consider
this question.
[10]
The
plaintiff submits that the Prothonotary proceeded without awaiting an examination
on affidavit of the plaintiff’s impecuniosity. There is no need to require an
examination on affidavit where impecuniosity merely stated without sufficient
disclosure that would make an examination on affidavit meaningful.
III. Other Submissions
[11]
The
plaintiff also submits the order for security for costs is prospective and further
such costs to be limited to incurred costs and disbursements. The Prothonotary
awarded security for costs in the within action up to the examinations for
discovery. Security for costs may be prospective. The Prothonotary decided that
security for costs should be posted for the first phase of the proceedings,
that is up to examinations for discovery. The decision is within the
Prothonotary’s discretion. The Prothonotary did not err in his assessment.
[12]
Finally,
the issue of security is not vital to outcome of the case. (Heli, above, at
paragraph 18)
[13]
Accordingly,
I dismiss the appeal of the Prothonotary’s order for security for costs.
ORDER
THIS COURT ORDERS that:
1.
The appeal
of the Prothonotary’s order for security for costs dated July 4, 2008 is
dismissed;
2.
Costs are
ordered in favour of the defendant in the amount of $600.00 payable forthwith.
"Leonard S. Mandamin"
FEDERAL COURT
NAMES OF COUNSEL AND SOLICITORS
OF RECORD
DOCKET: T-776-07
STYLE
OF CAUSE: HAROLD COOMBS v.
HER MAJESTY THE QUEEN
CONSIDERED
AT TORONTO, ONTARIO PURSUANT TO RULE 369
REASONS FOR ORDER
AND ORDER BY: MANDAMIN J.
DATED: July 21, 2008
WRITTEN
REPRESENTATIONS BY:
Harold Coombs FOR
THE PLAINTIFF
(Self-Represented)
Christopher Parke FOR
THE DEFENDANT
SOLICITORS OF RECORD
Harold Coombs FOR
THE PLAINTIFF
Toronto, Ontario (Self-Represented)
John H. Sims, Q.C.
Deputy
Attorney General of Canada FOR
THE DEFENDANT