The same conduct may justify aggravated damages and substantial indemnity costs

Pirani v. Esmail, 2014 ONCA 145:

[73]       In my view, the trial judge was entitled to rely on what she considered to be highhanded and egregious conduct on the part of the Esmails as the basis for both the award of aggravated damages and for the award of costs on a substantial indemnity basis. The same conduct may properly be the origin of both an award of aggravated damages and an award of substantial indemnity costs: Leenen v. Canadian Broadcasting Corp., 54 O.R. (3d) 621 (C.A.); see also Hughes v. Gemini Food Corp. (1997), 97 O.A.C. 147, 27 C.C.E.L. (2d) 204 (Ont. C.A.). The trial judge also properly considered the principles of fairness and reasonableness and proportionality.