Kalo v. Law Society of Manitoba, 2014 MBQB 24

• Court: Court of Queen's Bench of Manitoba (Canada)
• Case Date: January 31, 2014
• Jurisdiction: Manitoba
• Citations: 2014 MBQB 24;(2014), 302 Man.R.(2d) 178 (QBM)

Kalo v. Man. Law Soc. (2014), 302 Man.R.(2d) 178 (QBM)

MLB headnote and full text

Temp. Cite: [2014] Man.R.(2d) TBEd. MR.012

Michael Kalo (applicant) v. The Law Society of Manitoba (respondent)

(CI 13-01-84092; 2014 MBQB 24)

Indexed As: Kalo v. Law Society of Manitoba

Manitoba Court of Queen's Bench

Winnipeg Centre

Cooper, Master

January 31, 2014.

Summary:

The Law Society of Manitoba denied Kalo's application for admission as an articling student. An appeal panel dismissed his appeal. This was Kalo's third such application. On Kalo's application for judicial review, the Law Society sought an order for security for costs. Kalo asserted that he was impecunious.

A Master of the Manitoba Court of Queen's Bench granted the Law Society's motion, ordering Kalo to pay $1,000 in security for costs within 120 days.

Bankruptcy - Topic 8994

Discharge of debtor - Liabilities not released by discharge - Costs - The Law Society of Manitoba denied Kalo's application for admission as an articling student - An appeal panel dismissed his appeal - On Kalo's application for judicial review, the Law Society sought an order for security for costs on the basis that Kalo had failed to pay costs as ordered in other proceedings, including $6,455.50 owing to the Law Society in proceedings related to his efforts to be admitted to the bar admission program - Kalo asserted, inter alia, that because those costs had been ordered after his assignment in bankruptcy but before his automatic discharge, they were no longer outstanding - A Master of the Manitoba Court of Queen's Bench rejected the argument - Section 121(1) of the Bankruptcy and Insolvency Act provided that only debts and liabilities that the bankrupt owed on the date of assignment or that he incurred before the date of his assignment to which he might become subject prior to his discharge were provable - The costs to the Law Society remained outstanding - In the result, the Law Society's motion was granted - See paragraphs 35 to 40.

Courts - Topic 1102

Masters - Disqualification - Bias - The Law Society of Manitoba denied Kalo's application for admission as an articling student - An appeal panel dismissed his appeal - On Kalo's application for judicial review, the Law Society sought an order for security for costs - At the hearing, Kalo made an oral motion for the Master to recuse himself on the grounds of reasonable apprehension of bias arising from the Master's statement in an accounting under the Family Property Act that Kalo had "no concern for cost consequences that may be imposed upon him by the Courts" - A Master of the Manitoba Court of Queen's Bench denied the motion - Other than the allegation regarding the Master's reference to Kalo's seeming imperviousness respecting costs there were no other allegations or evidence of bias whatsoever - Nothing suggested any kind of predisposition against Kalo or that he would be treated unfairly in this proceeding - See paragraphs 25 to 30.

Practice - Topic 8111

Costs - Security for costs - General principles - Where plaintiff has failed to satisfy prior judgment or order - The Law Society of Manitoba denied Kalo's application for admission as an articling student - An appeal panel dismissed his appeal - This was Kalo's third such application - On Kalo's application for judicial review, the Law Society sought an order for security for costs on the basis that Kalo had failed to pay costs as ordered in other proceedings, including in proceedings related to his efforts to be admitted to the bar admission program - Kalo asserted, inter alia, that he was impecunious - A Master of the Manitoba Court of Queen's Bench granted the Law Society's motion, ordering Kalo to pay $1,000 in security for costs within 120 days - As a general rule, the court did not order an impecunious plaintiff to pay security for costs - The fundamental question was, notwithstanding the plaintiff's impecuniosity, whether there were other factors that made such an order just - The most concerning issue was Kalo's failure to pay the costs ordered and his attitude to that - Costs orders were of no effect in inducing Kalo to act as a reasonable litigant - This supported the Law Society's argument that, if Kalo was allowed to proceed without paying security and was unsuccessful, it would not recover any costs - Significantly, Kalo had been ordered to pay security for costs twice in previous proceedings concerning his admission to the articling program, despite his impecuniosity - His judicial review application had marginal merit - An order for security for costs was just - See paragraphs 45 to 70.

Practice - Topic 8112

Costs - Security for costs - General principles - Where plaintiff insolvent or impecunious - [See Practice - Topic 8111 ].

Cases Noticed:

Shore-Kalo v. Kalo (2009), 241 Man.R.(2d) 203; 2009 MBQB 168 (Fam. Div.), affd. (2009), 245 Man.R.(2d) 209; 466 W.A.C. 209; 2009 MBCA 104, refd to. [para. 5].

Shore-Kalo v. Kalo, [2008] Man.R.(2d) Uned. 46; 2008 MBQB 134 (Master), refd to. [para. 27].

Wewayakum Indian Band v. Canada and Wewayakai Indian Band, [2003] 2 S.C.R. 259; 309 N.R. 201; 2003 SCC 45, refd to. [para. 29].

Kalo v. Human Rights Commission (Man.) (2008), 226 Man.R.(2d) 139; 2008 MBQB 92, refd to. [para. 29].

Chaloux v. Kingston Fairways Golf Course et al., [2004] O.T.C. 91 (Sup. Ct.), refd to. [para. 39].

Glenister v. Rowe, [1999] E.W.J. No. 2585 (C.A.), refd to. [para. 39].

Strini v. Mihalicz (2006), 411 A.R. 202; 2006 ABQB 912, refd to. [para. 40].

DeBono v. Smith et al. (1989), 62 Man.R.(2d) 98 (Q.B.), refd to. [para. 42].

Franck Estate v. Webster et al. (1998), 129 Man.R.(2d) 87; 180 W.A.C. 87 (C.A.), refd to. [para. 43].

Owsianyk v. Hoffer Wilkinson & Associates Ltd. et al. (2004), 188 Man.R.(2d) 107; 2004 MBQB 204 (Master), refd to. [para. 46].

Sargsyan v. Westman Regional Laboratory Services Inc. et al. (2006), 205 Man.R.(2d) 275; 375 W.A.C. 275; 2006 MBCA 85, refd to. [para. 47].

Beutel et al. v. Federowich et al. (1990), 65 Man.R.(2d) 305 (Q.B.), refd to. [para. 57].

Kalo v. Law Society of Manitoba (2010), 255 Man.R.(2d) 1; 486 W.A.C. 1; 2010 MBCA 24, refd to. [para. 60].

Kalo v. Law Society of Manitoba (2010), 258 Man.R.(2d) 13; 499 W.A.C. 13; 2010 MBCA 64, refd to. [para. 62].

Counsel:

M. Kalo, appeared in person;

Leah Kosokowsky, for the respondent.

This motion was heard by Cooper, Master, of the Manitoba Court of Queen's Bench, Winnipeg Centre, who delivered the following judgment on January 31, 2014.