On a procedural motion in 506913 N.B. Ltd. v. The Queen (2016 TCC
286), the Tax Court ordered the Respondent to answer all
questions refused on discovery, reattend at a further discovery,
and pay the Appellant's costs on the motion.
The Tax Court also referred to the fictional interminable estate
case of Jarndyce v.
Jarndyce from Charles Dickens' novel Bleak
House in describing the slow progress of the litigation in
506913.
In 506913, the taxpayers filed their appeals in
2003 in respect of GST/HST for reporting periods in 1998 to 2000.
The parties filed amended Notices of Appeal and Replies in 2010,
and the Respondent was permitted to file further amended Replies in
2015.
The Tax Court judge's reasons address the scope of discovery
under sections 95 and 107 of the Tax Court of Canada Rules
(General Procedure) and the test to be applied on a refusals
motion. The Court considered the leading cases on this issue
(see Canada v. Lehigh Cement Limited (2011 FCA
120),
