Date: 20050125
Docket: T-20-03
Ottawa, Ontario, January 25, 2005
Present: The Honourable Madam Justice Mactavish
BETWEEN:
JAMES RICHARDSON INTERNATIONAL LIMITED
Applicant
and
HER MAJESTY THE QUEEN and
CANADIAN GRAIN COMMISSION
Respondents
REASONS FOR ORDER AND ORDER
[1] By Order dated November 10, 2004, I dealt with this application for judicial review. The application was allowed, in part, and the parties were afforded the opportunity to make submissions with respect to the issue of costs. This is my decision regarding costs.
[2] James Richardson International Limited (JRI) challenged various decisions of the Canadian Wheat Board (CWB) on a number of different bases, some of which were ultimately successful.
[3] In submitting that each party should bear its own costs, the CWB points to the fact that JRI was only partly successful in its application. The CWB also points to an offer of settlement that it made early in the proceedings, wherein it offered to waive its claim for costs if the application for judicial review was discontinued. In addition, the CWB offered to waive seeking recovery of the costs of the weigh-over carried out at JRI's Vancouver terminal.
[4] JRI submits that the CWB's offer should not be taken into account, given that the CWB did not pursue its claim for reimbursement for the costs of the weigh-over at the hearing, and that JRI was successful in having the CWB's November 8 order set aside.
[5] While conceding that it was not successful with respect to every aspect of its application for judicial review, JRI submits that it did succeed with respect to the central issue in the case - that is, the validity of the November 8 order.
[6] JRI further argues that the matter was one of considerable complexity, raising issues of first impression - issues which are of considerable importance to the grain industry. As a consequence, JRI submits that it should receive an order of increased costs beyond the highest rate allowed under Tariff B. JRI seeks an award of costs that bears a reasonable relationship to the actual costs of the litigation. JRI suggests a lump sum of $25,000 for fees, plus disbursements to be assessed.
[7] In reply, the CWB submits that there is no basis for an award of increased costs. Citing this Court's decision in AB Hassle v. Genpharm Inc., 2004 FC 892, 254 F.T.R. 268, the CWB argues that success should entitle a party to costs, not to increased costs, and that an award of costs should be neither punitive nor extravagant.
Discussion
[8] The central issue in this case was the validity of the CWB's November 8 order. JRI was successful in having this order set aside, and should, therefore be entitled to an award of costs.
[9] With respect to the CWB's offer of settlement, JRI obtained a result that was more favourable than that contemplated by the offer. As a result, the offer does not attract the cost consequences contemplated by Rule 420 (2). While I have taken the offer into consideration, in the circumstances, I am of the view that it should be accorded little weight.
[10] Insofar as the scale of the award is concerned, having considered the submissions of counsel, and the factors set out in Rule 400 (3), in the exercise of my discretion, I award JRI its costs to be assessed at the upper end of column III of Tariff B.
ORDER
THIS COURT ORDERS that the CWB shall pay James Richardson International Limited's costs, to be assessed at the upper end of column III of Tariff B.
"Anne L. Mactavish"
Judge
FEDERAL COURT
NAME OF COUNSEL AND SOLICITORS OF RECORD
STYLE OF CAUSE: JAMES RICHARDSON INTERNATIONAL LIMITED v. HER MAJESTY THE QUEEN AND
CANADIAN GRAIN COMMISSION
PLACE OF HEARING: WINNIPEG, MANITOBA
DATE OF HEARING: OCTOBER 14, 2004
APPEARANCES:
Winnipeg, Manitoba
Winnipeg, Manitoba
SOLICITORS OF RECORD:
Winnipeg, MB
John H. Simms, Q.C. FOR RESPONDENT(S)
Deputy Attorney General of Canada