What is the test for proportionality and reasonableness in determining the amount of costs of a claim?

Ontario, Canada


The following excerpt is from Oliver v. Coderre, 2021 ONSC 5423 (CanLII):

As noted above, proportionality and reasonableness are the touchstone considerations to be applied in fixing the amount of costs: see Beaver v. Hill, at para. 12.

The assessment of costs is not a mechanical exercise. It is not just a question of adding up a lawyer’s dockets. The overall purpose is to fix an amount that is fair and reasonable for the unsuccessful party to pay in the circumstances of the case: see Jackson v. Mayerle, 2016 ONSC 1556, 130 O.R. (3d) 683, at paras. 16-21.

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