Legal Blog:

Costs Security #2

We have previously discussed the concept of security for costs (see May 2008 newsletter). A defendant may request the court to force a financially strapped plaintiff to post money into court as security for costs that may be awarded against the plaintiff if the plaintiff is ultimately unsuccessful at trial. The concept has had a checkered history in construction lien actions. Melco Construction Inc. v. Jack Frost Sparkling Springs Co. Ltd., a 2011 decision of the Ontario Superior Court of Justice, is a recent case that deals with a request for security for costs in a construction lien action.

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