A court fight over prohibited outdoor events at a Niagara-on-the-Lake winery has produced legal bills on both sides, with the winery ordered to pay its neighbouring farmer a little over $41,000 and the farmer agreeing to pay the municipality $20,000.
The June 26 costs decision follows a judge’s finding that the court action from the farmer’s company, Brox Company Ltd., was necessary to stop the winery, Konzelmann Estate Winery, from using its land in ways that violated the town’s zoning bylaw and site plan agreement.
Brox president Ed Werner said the costs show the dispute created an unnecessary burden for residents, farmers and taxpayers.
Superior Court Justice A.J. Ohler said Brox’s application was important — it involved the use of a neighbouring property in a way that affected Brox’s farming activities and didn’t align with what was allowed by the town’s zoning bylaw and approved site plan agreement.
“The application was clearly necessary to stop Konzelmann’s use of its lands in a manner inconsistent with the town’s bylaw and site plan agreement,” Ohler wrote.
Brox had sought $43,071.15 in costs from Konzelmann Vineyards Inc.
The estate winery argued no costs should be awarded or, alternatively, that Brox’s request was excessive. It pointed to an offer from last September to settle that included consent to the orders Brox sought and $10,000 in costs.
Ohler said the amount was reasonable given the issues involved, the need for expert evidence and how far the case had progressed before Konzelmann agreed to the court orders Brox was seeking.
“While Konzelmann submits that the costs are excessive, it has not provided a bill of costs for consideration,” Ohler wrote.
The final amount came to $41,683.62, which needs to be paid within 60 days.
The case stems from Brox’s application over the winery’s outdoor events in 2024 and 2025.
Earlier this year, the court ruled Konzelmann’s outdoor events were contrary to the permitted uses under the town’s zoning bylaw and inconsistent with its approved site plan agreement.
The court issued permanent injunctions barring Konzelmann from any future use not permitted under its zoning, site plan agreement or any licence issued by the Alcohol and Gaming Commission of Ontario, conditions to which the winery agreed.
Council approved a zoning amendment in April and the winery is now working through final site plan approval.
Brox’s application also sought to compel the town to enforce its bylaws against Konzelmann, but that part of the case was dismissed.
A May 6 court memo says Brox and the town reached an agreement on costs payable to the town. Under that agreement, Brox agreed to pay the town $20,000, including tax and disbursements, within 30 days.
In a statement to The Lake Report, Werner said the town’s failure to enforce its bylaws created unnecessary costs.
“The failure of the town to enforce its own laws has resulted in an unnecessary burden on all parties and the taxpayers of the town,” Werner said.
Werner said residents and farmers seeking justice should not rely on the current council’s enforcement process and may need to go directly to court against an offending party.
Konzelmann’s vice president, Claudia Konzelmann, said the winery respects the court’s decision and is focused on moving forward.
“As we complete the remaining approvals, our focus remains on working collaboratively with the town and complying with all applicable municipal requirements,” Claudia said in an email.
“We remain committed to being a responsible neighbour.”
Claudia described the “area in question” as a “small, grassed section of our property overlooking Lake Ontario,” with no permanent structures, buildings, electrical services or event infrastructure.
“It is simply an outdoor ceremony location,” she said. “We believe it has minimal impact on the surrounding area.”
The town said it respects the court’s decision and does not intend to comment on the costs awarded.
“The town is committed to a fair, consistent and balanced approach to bylaw enforcement across the community,” said town spokesperson Marah Minor.
“The town continually reviews its processes and practices to ensure they remain effective, transparent and responsive to the needs of the community,” she said.
