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Contempt of Court

Manufacturers Life Insurance Co. v. Guaranteed Estate Bond Corp.

T-1436-96

Dubé J.

8/2/00

7 pp.

Show cause hearing launched by plaintiff against defen- dant and sole director following October 1998 injunction order issued by Associate Senior Prothonotary (ASP) by way of judgment by default in matter of trade-mark infringement--Both parties notified Court would raise issue of validity of injunction in view of Federal Court Rules, 1998, r. 50(1)(e) providing prothonotaries without jurisdiction to issue injunctions--Proper forum to challenge validity of injunction not at show cause hearing--Where litigant feels Court decision wrong, appropriate course of conduct to challenge it through available legal channels rather than by refusing to obey it--Evidence clear defendant and director were and still are in contempt of Court as continued to infringe trade-mark after being enjoined from doing so--Counsel for plaintiff described defendant's promotion as "willful, fraudulent scheme deserving of stern punishment"--Defendant Guaranteed Estate and director each fined $5,000 and ordered to pay costs on solicitor-client basis, all payable within 30 days--Federal Court Rules, 1998, SOR/98-106, r. 50(1)(e).

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