Transaction Levy Filings – Civil Litigation

A levy is owing by counsel for the party seeking relief when judicial or quasi-judicial proceedings are commenced.

Counsel for a defending or third party must pay a separate levy when first responding to civil litigation proceedings that have commenced.

Providing legal advice, preparing demand letters, negotiating resolutions before proceedings are commenced, or preparing “unbundled” forms or materials that will be filed by an unrepresented client do not trigger a levy.

Only one levy is owing if related proceedings are commenced or responded to at the same time. If related proceedings are commenced or responded to at different times, such as the filing of a new counterclaim, additional levies are owing on each new proceeding.

A new levy is not required if counsel arguing the appeal already paid a transaction levy on the same matter in the court below. A new levy is owing if new counsel argue an appeal when that counsel did not also handle the matter in the court below.

A levy owing on an appeal matter should be paid when the appeal is heard, not when a notice of appeal or application for leave to appeal is filed.

Generally, a civil litigation transaction levy should be paid when the tribunal’s process provides an independent decision maker and allows for submissions by opposing parties.

No transaction levies are owing when arbitration proceedings, private mediations, Small Claims Court proceedings, or Residential Landlord and Tenant matters are commenced. However, a levy may be owing when and if those matters are appealed to a higher court or if judicial review is sought.

Generally, a levy is owing on matters such as estate, probate, or bankruptcy only when they are contested by another party.

No levy is owing when proceedings are funded by Legal Aid Ontario, the Office of the Children’s Lawyer, or the Office of the Official Public Guardian and Trustee.

No Levy is owing on refugee proceedings. However, a levy is owing on other immigration matters if and when a hearing or appeal takes place.

The civil litigation transaction levy surcharge is $100 per transaction inclusive of PST (it is not subject to HST or GST). For these transactions, the civil litigation transaction levy surcharge is calculated as follows:

If you are required to pay a transaction levy you may charge the transaction levy surcharge to your client as a disbursement.

No. LAWPRO analysis of claims trends has shown that, from a professional indemnity perspective, family law litigation is significantly less risky than other kinds of litigation. In response to this observation, lawyers who initiate family law proceedings are not required to pay civil litigation transaction levies.