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Default Judgment

Paul’s Transport Inc. v. Immediate Logistics Limited 2022 Ont CA

Appeal by defendant to set aside or vary a default judgment. The Court of Appeal ruled that, although allegations of fact in a statement of claim are deemed by Rule 19.02(1) to be true, allegations of mixed fact and law are not covered by the Rule and are not deemed to be true (e.g. allegations of implied terms of the contract, allegations of negligence etc.). In this case, however, the contentious issue regarding the interest rate was not found as a fact based on the allegations in the statement of claim; it was found based on affidavits and cross-examinations.

Written by Jonathan Speigel, the founding partner of Speigel Nichols Fox LLP, leads the litigation and construction practices.