Updates to the Family Law Rules concerning costs came into effect on January 22, 2025.
The changes emphasize the summary nature of costs and the Court’s discretion in awarding them, and standardize the formatting of cost submissions. However, and maybe most importantly, all the numbers have changed in Rule 24 so counsel will need to reacquaint themselves when drafting submissions.
The following are particularly important changes:
- Offers to Settle Moved: The costs consequences of Offers to Settle have moved from Rule 18(14) to Rule 24(12).
- Costs are Decided at Each Step: Rule 24(10), which provides that the Court shall summarily deal with costs at each step in a case has moved up to Rule 24(1) emphasizing it as a framework for the cost rules.
- Parties/Counsel Must Confer Before Each Step: The new Rule 24(17) makes it mandatory for parties to confer with each other to try and settle costs before each step in a case. This includes case conferences and settlement conferences. The new form 17F requires parties and counsel to confirm they have talked about this issue. As a suggestion for conferences where costs are not sought, parties can confirm their costs position when they confirm the amount of time required for the conference.
- Be Prepared to Argue Oral Submissions with a Costs Outline: As part of settling the costs at each step in a case, Rule 24(18) requires that parties shall be prepared to make oral submissions and provide supporting documents related to their fees per Rules 24(15) and (16). This means you need to bring your costs outline to Court and be ready to argue at the time of your appearance.
- Written Submissions Now Have Stricter Rules: If a Court requires written submissions regarding costs, the new Rule 24(19) requires that each party provide their submissions within 15 days (with responding submissions due an additional 15 days later). Submissions are limited to three pages except for costs submissions for trials which may be five pages. Sub-rule 24(19)(4) provides that the written costs submissions must be typed, double spaced, and twelve-point font. This may be particularly challenging when trying to argue for costs based on bad faith or unreasonableness where there are multi-factor tests (however, for a helpful and detailed overview of this law, using the old rule numbers, refer to Ricketts v. Ricketts, 2024 ONSC 1403).
If counsel with like to review the changes to the rules, Canlii’s Legislation Compare tool is an excellent resource which lets users see two versions of a piece of legislation side by side with changes highlighted.
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