Not appropriate to issue stay to automatically extend to stage not yet analyzed by court

Plaintiff brought motion seeking default judgment against defendants

Civil Practice and Procedure - DISPOSITION WITHOUT TRIAL - Stay or dismissal of action

Plaintiff, RMI, was corporation incorporated in Nova Scotia which operated as marine contractor and provider of marine services and vessels. RMI brought action against Defendants, vessel and owner, OHTC. RMI brought motion seeking default judgment against defendants, an order for sale of vessel through Federal Court process, and ancillary relief. OHTC brought motion seeking stay of RMI’s action in rem against vessel and release of vessel from arrest; in alternative seeking to strike RMI’s pleading and to release vessel from arrest; or, in further alternative, seeking an extension of time to file defence. RMI's motion dismissed; OHTC's motion granted. It would not be appropriate to issue a stay which would automatically extend to a stage that had not yet been analyzed by Supreme Court of Nova Scotia (“NSSC”) and which cannot yet be analyzed by court. Stay was issued which extended for 90 days from date of order (or until NSSC stay was lifted, if that should occur at an earlier date). This was intended to cover period of current NSSC stay to March 6, 2019, and further period to afford parties time to return to the Federal Court after they know outcome of OHTC’s motion to extend NSSC stay. If NSSC decided on or before March 6, 2019, to extend stay, there may be some period before it issues reasons for that decision, and parties may then require some time to prepare respective positions for further motion to the Federal Court and to obtain date for hearing of that motion.

RMI Marine Limited v. Scotia Tide (Ship) (2019), 2019 CarswellNat 866, 2019 CarswellNat 867, 2019 FC 114, 2019 CF 114, Richard F. Southcott J. (F.C.).

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