Canada

Enforcing Contracts in

Canada

Listed below is a detailed summary of the efficiency of contract enforcement. It follows the evolution of a sale of goods dispute, tracking the time, cost and number of procedures involved from the moment the plaintiff files the lawsuit until actual payment.

The information appearing on this page was collected as part of the Doing Business project, which measures and compares regulations relevant to the life cycle of a small- to medium-sized domestic business in 183 economies. The most recent round of data collection for the project was completed in June 2011.

  • Court Name (English): Ontario Superior Court of Justice
  • City: Toronto

About This Topic

To see indicator data for all economies, see the Enforcing Contracts page. To see how economies rank, see the Rankings page.

Indicator
Time (days) 570
Filing and service 30
Trial and judgment 390
Enforcement of judgment 150
Cost (% of claim) 22.3
Attorney cost (% of claim) 15
Court cost (% of claim) 5.3
Enforcement Cost (% of claim) 2
Procedures (number) 36
Filing and service
1      Plaintiff requests payment: Plaintiff or his lawyer asks Defendant orally or in writing to comply with the contract.
2      Plaintiff’s hiring of lawyer: Plaintiff hires a lawyer to represent him before the court.
*      Plaintiff’s filing of summons and complaint: Plaintiff files his summons and complaint with the court, orally or in writing.
*      Plaintiff’s payment of court fees: Plaintiff pays court duties, stamp duties, or any other type of court fee.
3      Registration of court case: The court administration registers the lawsuit or court case. This includes assigning a reference number to the lawsuit or court case.
*      Arrangements for physical delivery of summons and complaint: Plaintiff takes whatever steps are necessary to arrange for physical service of process on Defendant, such as instructing a court officer or a (private) bailiff.
4      First attempt at physical delivery: A first attempt to physically deliver summons and complaint to Defendant is successful in the majority of cases.
5      Second attempt at physical delivery: If a first attempt was not successful, a second attempt to physically deliver the summons and complaint to Defendant is required by law or standard practice.
Trial and judgment
6      Defendant’s filing of defense or answer to Plaintiff’s claim: Defendant files a written pleading which includes his defense or answer on the merits of the case. Defendant's written answer may or may not include witness statements, expert statements, the documents Defendant relies on as evidence and the legal authori
7      Filing of pleadings: Plaintiff and Defendant file written pleadings and submissions with the court and transmit copies of the written pleadings or submissions to one another. The pleadings may or may not include witness statements or expert (witness) statements.
8      Adjournments: Court procedure is delayed because one or both parties request and obtain an adjournment to submit written pleadings.
9      Pre-trial conference on procedure: The judge meets with the parties to discuss procedural issues (for example which applications and motions parties intend to file, which documents parties intend to rely on, what will be presented as evidence the oral hearing or trial, etc.)
*      Setting of date for mediation hearing: The judge sets a date for a mediation hearing, sometimes also called a 'pre-trial conference,' and notifies the parties of the hearing date.
10      Mediation hearing: The judge during this informal meeting with the parties encourages them to settle the case. The judge acts as mediator. If the case cannot be settled, the judge may draft a pre-trial conference report, after which the case may be allocated to another judg
*      Request for interlocutory order: Defendant raises preliminary issues, such as jurisdiction, statute of limitation, etc.
*      Court’s issuance of interlocutory order: Court decides the preliminary issues the Defendant raised by issuing an interlocutory order.
11      Plaintiff’s appeal of court's interlocutory order: Plaintiff appeals the court's interlocutory order, which suspends the court proceedings.
*      Discovery requests: Plaintiff and Defendant make requests for the disclosure of documents, attempting to force the other party to reveal potentially detrimental documents.
12      Discovery disputes: Following a request for discovery of documentary evidence, the other party disputes the request and calls upon the judge to decide the issue.
13      Request for oral hearing or trial: Plaintiff applies for the date(s) for the oral hearing or trial.
*      Setting of date(s) for oral hearing or trial: The judge sets the date(s) for the oral hearing or trial.
14      Pre-trial conference aimed at preparing for trial: The judge meets with parties to make practical arrangements for the trial (for example, the number of witnesses parties intend to call on during trial, how much time each party is given to present oral arguments etc.).
15      Summoning of (expert) witnesses: The court summons (expert) witnesses to appear in court for the oral hearing or trial. (see assumption 6-a)
16      Adjournments: Court proceedings are delayed because one or both parties request and obtain an adjournment to prepare for the oral hearing or trial.
17      Trial (prevalent in common law): The parties argue the merits of the case at (an) oral session(s) before the court. Witnesses and expert witnesses are questioned and cross-examined during trial.
18      Adjournments: Court proceedings are delayed because one or both parties request and obtain an adjournment during the oral hearing or trial, resulting in an additional or later trial or hearing date.
*      Final arguments: The parties present their final factual and legal arguments to the court either by oral presentation or by a written submission.
19      Notification of judgment in court: The parties are notified of the judgment at a court hearing.
20      Writing of judgment: The judge produces a written copy of the judgment.
21      Registration of judgment: The court office registers the judgment after receiving a written copy of the judgment.
22      Appeal period: By law, Defendant has the opportunity to appeal the judgment during a period specified in the law. Defendant decides not to appeal. Judgment becomes final the day the appeal period ends.
23      Reimbursement by Defendant of Plaintiff's court fees: The judgment obliges Defendant to reimburse Plaintiff for the court fees Plaintiff has advanced, because Defendant has lost the case.
Enforcement of judgment
*      Plaintiff’s hiring of lawyer: Plaintiff hires a lawyer to enforce the judgment or continues to be represented by a lawyer during the enforcement of judgment phase.
*      Plaintiff’s request for enforcement order: Plaintiff applies to the court to obtain the enforcement order ('seal' on judgment).
24      Plaintiff’s advancement of enforcement fees: Plaintiff pays the fees related to the enforcement of the judgment.
25      Attachment of enforcement order to judgment: The judge attaches the enforcement order (‘seal’) to the judgment.
*      Delivery of enforcement order: The court's enforcement order is delivered to a court enforcement officer or a (private) bailiff.
26      Request to Defendant to comply voluntarily with judgment: Plaintiff, a court enforcement officer or a (private) bailiff requests Defendant to voluntarily comply with the judgment, giving Defendant a last chance to comply voluntarily with the judgment.
27      Plaintiff’s identification of Defendant's assets for attachment: Plaintiff identifies Defendant's assets for attachment.
28      Notification of intent to attach: A court enforcement officer or (private) bailiff notifies other creditors of the intent to attach Defendant's goods.
29      Attachment: Defendant’s movable goods are attached (physically or by registering, marking or separating assets).
30      Report on execution of attachment: A court enforcement officer or private process server delivers a report on the attachment of Defendant's movable goods to the judge.
31      Valuation or appraisal of attached movable goods: The court or court appointed valuation expert evaluates the attached goods.
32      Enforcement disputes before court: The enforcement of the judgment is delayed because Defendant opposes aspects of the enforcement process before the judge.
33      Call for public auction: The judge calls a public auction by, for example, advertising or publication in the newspapers.
34      Sale through public auction: The Defendant’s movable property is sold at public auction.
35      Distribution of proceeds: The proceeds of the public auction are distributed to various creditors (including Plaintiff), according to the rules of priority.
36      Reimbursement of Plaintiff’s enforcement fees: Defendant reimburses Plaintiff's enforcement fees which Plaintiff had advanced previously.
37      Payment: Court orders that the proceeds of the public auction or the direct sale be delivered to Plaintiff.

Nature of Procedures 37
Specialized commercial courts -1
Total Number of Procedures 36
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