The former owners of Sooke Harbour House have won another legal victory against parties involved in a failed share-purchase agreement.
B.C. Supreme Court Justice Jasvinder Basran ruled last year that Frederique and Sinclair Philip were entitled to about $4 million in damages, but the Philips, the Philip Family Trust and Sooke Harbour House Inc. went back to court seeking special costs.
Basran said this week that the plaintiffs are entitled to special costs to be determined by the court registrar.
The Philips submitted an affidavit that their legal bills surpassed $1 million. Basran said more information was needed and that the registrar is best placed to assess costs.
Basran said special costs are warranted if a person knowingly misleads the court or gives false evidence.
For about 30 years, the Philips ran the hotel, building up a local and international reputation for fine cuisine and a picturesque waterfront location.
They eventually decided to retire and met Timothy Durkin and Rodger Gregory.
“They thought they had found honest and reputable business people who would comply with their contractual obligations and pay for the hotel,” Basran said in his earlier judgement.
“Unfortunately for the Philips, Mr. Durkin and Mr. Gregory had neither the means nor the intention of paying them for their valuable asset.
“Instead, the Philips suffered a six-year odyssey of lies, excuses, threats, intimidation and bullying by both of these individuals. In the end, the Philips’ substantial equity in the hotel was entirely dissipated because of the actions of Mr. Durkin and Mr. Gregory.” Basran called Durkin’s and Gregory’s conduct reprehensible.
The hotel changed hands in a court-ordered sale to a North Vancouver company after a foreclosure action was launched.
It remains closed amid the COVID-19 pandemic.
