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  • 257 (1) On the hearing of the application referred to in section 256(1), the court
  • (a) may order the cancellation of the registration of the certificate of pending litigation either in whole or in part, on
    • (i) being satisfied that an order requiring security to be given is proper in the circumstances and that damages will provide adequate relief to the party in whose name the certificate of pending litigation has been registered, and
    • (ii) the applicant giving to the party the security so ordered in an amount satisfactory to the court, or
  • (b) may refuse to order the cancellation of the registration, and in that case may order the party
    • (i) to enter into an undertaking to abide by any order that the court may make as to damages properly payable to the owner as a result of the registration of the certificate of pending litigation, and
    • (ii) to give security in an amount satisfactory to the court and conditioned on the fulfillment of the undertaking and compliance with further terms and conditions, if any, the court may consider proper.
  • (2) The form of the undertaking must be settled by the registrar of the court.
  • (3) In setting the amount of the security to be given, the court may take into consideration the probability of the party’s success in the action in respect of which the certificate of pending litigation was registered.
  • (4) On hearing the application referred to in section 256(2) and on being satisfied that
  • (a) the facts set out in the affidavit are consistent with the records of the land title office, and
  • (b) there is nothing in the pleading or petition by which the proceeding was commenced or notice of application attached to the certificate that expressly or by necessary implication alleges that the owner is not a purchaser in good faith and for valuable consideration,
  • the court may make an order declaring that the owner’s indefeasible title or charge is not affected by the certificate of pending litigation or the outcome of the proceeding.
  • (5) On receipt of an order made under subsection (4), the registrar must file it and cancel the registration of the certificate of pending litigation.

1979-219-236; 1989-69-29, effective April 1, 1990 (B.C. Reg. 53/90); 1992-55-1, effective October 1, 1994 (B.C. Reg. 300/94); 2010-6-66, effective July 1, 2010; 2016-05-18.