Does Rule 56.01(1) create a prima facie right to security for costs?
Ontario, Canada
The following excerpt is from Kerlow v. Corrigan, 2019 ONSC 5181 (CanLII):
Rule 56.01(1) does not create a prima facie right to security for costs but rather triggers an enquiry whereby the court, using its broad discretion, considers multiple factors to make such order as is just in the circumstances. These factors include the merits of the claim, the financial circumstances of the plaintiff and the possibility of an order for security for costs preventing a bona fide claim from proceeding (Stojanovic v. Bulut, 2011 ONSC 874 (CanLII) at paras. 4-5).
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