Security for costs for an appeal pursuant to Sidiqi v. Ahmadzai, 2023 ONCA 213
In this blog post, we will discuss a recent case involving a parenting decision and the issue of seeking security for costs prior to an appeal being heard. The moving party/Respondent, being the successful party at trial, requested security for costs of the appeal and the trial. This is a really useful tool for someone who was successful in court but the other party is refusing to obey the costs order. In other words, the moving party wants the appellant to put up money for their costs prior to the appeal being heard so that in the event the appeal fails she can be reimbursed her legal fees.
The appellant is seeking to overturn a parenting decision made by the Superior Court of Justice. The decision allowed the respondent mother to relocate with the two children. The moving party is requesting security for costs of the appeal and trial in the amount of $25,000 and $18,000 respectively. The appellant had an outstanding $2,000 costs order from a previous motion and he was in child support arrears. Thus, the moving party did not want to undergo the expense of an appeal without the guarantee that they would be reimbursed their legal fees given the other factors.
The Court of Appeal references the Rules of Civil Procedure. Rule 56.01(c) states that security for costs may be granted when the moving party has an outstanding order for costs that remains unpaid. Rule 61.06 provides an appellate court with the authority to order costs for the appeal and proceedings in certain circumstances. For instance, it allows the court to order security for costs if it deems it necessary for "other good reasons."
The Court of Appeal granted security for costs of the appeal but not for the trial. The appellant's refusal to pay child support and outstanding costs orders, along with other financial inconsistencies, were significant factors influencing the court's decision. The Court of Appeal found that the appellant could not provide a good explanation for the aforementioned. The court ordered the respondent to pay $20,000 as security for the costs of the appeal. Failure to comply within 30 days, the Court of Appeal said that the appeal would be dismissed. The court, however, did not grant security for costs for the trial.