2015 May 11

122164 Canada Limited (New York Fries) v C.M. Takacs Holding Corporation, 2015 ONSC 3007, setting aside 2012 ONSC 6338

The Ontario Superior Court set aside a default judgment awarding substantial defamation damages to the plaintiff on November 7, 2012. The Court found that the plaintiff knew or ought to have known that it was taking an advantage that might not be sustained by a court that much prefers that lawsuits be decided on their merits. In any event, the defendants had a plausible explanation and excuse for being in default and they moved promptly to have the default judgment set aside. The Court noted there was enough information before the court to suggest they may have some defences, and may have arguments to challenge causation or harm and the assessment of over $500,000 in damages.