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CONSTRUCTION LAW REPORTS Fourth Series/Quatri`Eme S´Erie Recueil De Jurisprudence En Droit De La Construction

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CONSTRUCTION LAW REPORTS Fourth Series/Quatri`Eme S´Erie Recueil De Jurisprudence En Droit De La Construction CONSTRUCTION LAW REPORTS Fourth Series/Quatri`eme s´erie Recueil de jurisprudence en droit de la construction VOLUME 59 (Cited 59 C.L.R. (4th)) EDITOR-IN-CHIEF/REDACTEUR´ EN CHEF Harvey J. Kirsh, B.A., LL.B., LL.M. Toronto, Ontario QUEBEC EDITOR/REDACTEUR´ POUR LE QUEBEC´ David H. Kauffman, B.A., B.C.L. de Grandpr´e Chait Montr´eal, Qu´ebec EDITORIAL STAFF/REDACTION´ Cheryl L. McPherson, B.A.(HONS.) Ken Murphy, B.A.(HONS.), LL.B. Director, Content Operations - Primary Law Product Development Manager & Quebec Nicole Ross, B.A., LL.B. Julia Fischer, B.A.(HONS.), LL.B. Supervisor, Legal Writing Supervisor, Legal Writing Eden Nameri, B.A., LL.B. Anne Simpson, B.A., M.L.S., LL.B. Senior Legal Writer Lead Legal Writer Martin-Fran¸cois Parent, LL.B., LL.M., Jackie Bowman DEA (PARIS II) Senior Content Editor Bilingual Legal Writer CONSTRUCTION LAW REPORTS, a national series of topical law reports, Recueil de jurisprudence en droit de la construction, une s´erie nationale is published 12 times per year. de recueils de jurisprudence sp´ecialis´ee, est publi´e 12 fois par ann´ee. Editorial Offices are also located at the following address: 430 rue St. Pierre, Le bureau de la r´edaction est situ´e a` Montr´eal — 430, rue St. Pierre, Mon- Montr´eal, Qu´ebec, H2Y 2M5. tr´eal, Qu´ebec, H2Y 2M5. ________ ________ © 2017 Thomson Reuters Canada Limited © 2017 Thomson Reuters Canada Limit´ee NOTICE AND DISCLAIMER: All rights reserved. No part of this publica- MISE EN GARDE ET AVIS D’EXONERATION´ DE RESPON- tion may be reproduced, stored in a retrieval system, or transmitted, in any SABILITE´ : Tous droits r´eserv´es. Il est interdit de reproduire, m´emoriser sur form or by any means, electronic, mechanical, photocopying, recording or un syst`eme d’extraction de donn´ees ou de transmettre, sous quelque forme ou otherwise, without the prior written consent of the publisher (Thomson par quelque moyen que ce soit, electronique´ ou m´ecanique, photocopie, enre- Reuters Canada, a division of Thomson Reuters Canada Limited). gistrement ou autre, tout ou partie de la pr´esente publication, a` moins d’en avoir pr´ealablement obtenu l’autorisation ecrite´ de l’´editeur, Thomson A licence, however, is hereby given by the publisher: Reuters Canada, une division de Thomson Reuters Canada Limit´ee. 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La participation d’une personne a` la pr´esente publication ne peut en aucun cas etreˆ consid´er´ee comme constituant la formulation, par celle-ci, d’un avis No one involved in this publication is attempting herein to render legal, ac- juridique ou comptable ou de tout autre avis professionnel. Si vous avez counting, or other professional advice. If legal advice or other expert assis- besoin d’un avis juridique ou d’un autre avis professionnel, vous devez tance is required, the services of a competent professional should be sought. retenir les services d’un avocat ou d’un autre professionnel. Les analyses The analysis contained herein should in no way be construed as being either comprises dans les pr´esentes ne doivent etreˆ interpr´et´ees d’aucune fa¸con official or unofficial policy of any governmental body. comme etant´ des politiques officielles ou non officielles de quelque organ- isme gouvernemental que ce soit. 8 The paper used in this publication meets the minimum requirements of 8 Le papier utilis´e dans cette publication satisfait aux exigences minimales American National Standard for Information Sciences — Permanence of Pa- de l’American National Standard for Information Sciences — Permanence of per for Printed Library Materials, ANSI Z39.48-1984. Paper for Printed Library Materials, ANSI Z39.48-1984. ISSN 0383-9494 ISBN 978-0-7798-2978-1 Printed in Canada by Thomson Reuters THOMSON REUTERS CANADA, A DIVISION OF THOMSON REUTERS CANADA LIMITED One Corporate Plaza Customer Relations 2075 Kennedy Road Toronto 1-416-609-3800 Toronto, Ontario Elsewhere in Canada/U.S. 1-800-387-5164 M1T 3V4 Fax 1-416-298-5082 www.carswell.com Contact www.carswell.com/email Pillar Resource Services Inc. v. PrimeWest Energy Inc. 179 [Indexed as: Pillar Resource Services Inc. v. PrimeWest Energy Inc.] Pillar Resource Services Inc. (Respondent / Plaintiff / Defendant by Counterclaim) and PrimeWest Energy Inc., PrimeWest Gas Corp. and TAQA North Ltd. (Appellants / Defendants / Plaintiffs by Counterclaim) and Equinox Engineering Ltd. (Not a Party to the Appeal / Third Party by Counterclaim) Alberta Court of Appeal Docket: Calgary Appeal 1601-0082-AC 2017 ABCA 19 J.D. Bruce McDonald, Myra Bielby, Thomas W. Wakeling JJ.A. Heard: October 13, 2016 Judgment: January 20, 2017* Civil practice and procedure –––– Costs — Particular orders as to costs — Costs on solicitor and client basis — Grounds for awarding — Miscon- duct –––– Plaintiff was successful in litigation for breach of construction con- tract — Parties made submissions regarding costs — Plaintiff asserted defend- ants were guilty of misconduct prior to litigation and engaged in blameworthy conduct during trial — Plaintiff was awarded complete indemnification costs against defendants — Trial judge held that defendants’ conduct warranted award of solicitor-client costs — Defendants appealed — Appeal dismissed — Trial judge’s award of full-indemnity costs was reasonably based on, at least, last three of four reasons she gave for making that award — First of four reasons for making costs award, causing unnecessary delays in post-completion negotiation occurred shortly before issuance of statement of claim — Remaining three rea- sons given by trial judge all arose from misconduct that occurred during litiga- tion, or after issuance of statement of claim — These three reasons would justify award of full indemnity costs without consideration of first reason, pre-litigation negotiation misconduct — Law does not permit trial judge to base award of full- indemnity costs on pre-litigation conduct alone, independent of any other cir- cumstances — Such costs are exceptional and generally to be awarded for mis- conduct that arises during course of litigation only, save for certain exceptions, which do not include pre-litigation conduct in and of itself — Trial judge was nonetheless reasonable in considering pre-litigation misconduct described in first of her reasons because it gave context to subsequent acts of trial misconduct. * A corrigendum issued by the court on February 2, 2017 has been incorporated herein. 180 CONSTRUCTION LAW REPORTS 59 C.L.R. (4th) Civil practice and procedure –––– Costs — Particular orders as to costs — Costs on solicitor and client basis — Miscellaneous –––– Plaintiff was suc- cessful in litigation for breach of construction contract — Parties made submis- sions regarding costs — Plaintiff asserted defendants were guilty of misconduct prior to litigation and engaged in blameworthy conduct during trial — Third party was joined by reason of counterclaim — Counterclaim was dismissed — Parties made submissions regarding costs — Plaintiff was entitled
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