On 5 October 2022, in CV-20-00645492-0000, the Ontario Superior Court granted default judgment against Sergei Sachkov. He had been noted in default on 17 May 2021. Damages of $1,744,711 were later assessed. Those judgments were set aside by Justice Merritt in May 2023. The endorsement is examined in Four Critical Failures and in CJC file 26-0478.
Justice Myers, 5 and 19 October 2022
Read the Default Judgment here:
Justice Myers sought more clarity on the amount of damages claimed, and on October 19, 2022, he agreed to give us until December 16, 2022, to provide additional evidence in support of that.
Read that endorsement by Justice Myers here:
Sachkov’s Role and the Default
Sergei Sachkov served as Equibit’s core protocol developer. His sudden disappearance in mid-2018, along with critical source code, dealt a severe blow to the company at a vulnerable time. The default judgment formally holds him liable for the allegations made against him, including breach of fiduciary duty and related claims arising from his role in the company’s collapse.
Obtaining default judgment is a significant procedural milestone. It demonstrates that even when defendants choose not to participate in the legal process, the Court can still render judgment based on the evidence presented. This outcome adds another layer of formal accountability to the public record.
What Happened After the Default
After default judgment on 5 October 2022, Justice Myers deferred the quantum. On 21 December 2022 the Court assessed damages at $1,744,711 plus costs. In May 2023 Justice Loretta P. Merritt set aside the noting in default, the liability judgment, and the damages judgment. A three-judge panel of the Divisional Court refused leave to appeal on 13 October 2023 (2023 ONSC 5623). The May 2023 endorsement is the subject of Canadian Judicial Council file 26-0478 and of the account in Four Critical Failures. The underlying action, CV-20-00645492-0000, continues.
For any citizen who expects the justice system to function fairly, the pattern is concerning. When those allegedly involved in harming a Canadian technology company can avoid meaningful participation in the legal process for years, it undermines public confidence in the rule of law.
The Record After the Set-Aside
The public documentation campaign at equibitlawsuit.com exists to ensure these developments remain transparent and accessible. Every judgment, every filing, and every piece of preserved evidence contributes to the permanent record.
The full Factum of Equibit Group — the comprehensive evidentiary synthesis of the entire case — continues to advance and will be released in due course.
Further Reading
- Default Judgment Overturned
- Four Critical Failures in the Handling of the Default Judgment Against Sergei Sachkov
- CJC Complaint Against Justice Merritt
- Statement of Claim Against CSIS
