Regents of the University of California v. I-MED Pharma Inc., 2016 FC 975
Following TearLab's unsuccessful motions for interim and interlocutory injunctions, the Federal Court ordered that TearLab deposit an additional amount of $100,000.00 as security for the Defendant's costs.
The Court found that the Defendant had established that there was a significant gap between the security of $100,000.00 posted and the actual costs of $141,101.00 awarded in its favour following the unsuccessful interim and interlocutory injunction motions. The Court was also not satisfied that TearLab, an ordinarily resident outside of Canada, had any assets of value in Canada. Additionally, there was no suggestion that TearLab was impecunious or that an order for increased security for costs would create a financial burden rendering it impossible to carry on the action.
The Court concluded that an additional amount of $100,000.00 should be posted by TearLab as security for the Defendant's costs. This amount took into account the cost awards already made in favour and against each party to date and the steps that remain to be taken by the parties in order to complete examinations for discovery.