The Preliminary Contract for the Sale of an Existing or Planned Residential Immovable can be Enforced by an Action for the Transfer of Title？– #57
The real estate market in Montreal and some other cities in Canada continues to power through the COVID-19 pandemic as sales in all property categories, especially houses, continue to increase. This post summarizes part of the analysis in the Quebec Court of Appeal’s decision on Ly c. Construction Sainte Gabrielle inc., 2018 QCCA 1438. It aims to analyze if or in what situations the buyer who signed a preliminary contract with the developer or builder of a residential property can request the Court to order the developer or builder to transfer the title of the property according to the preliminary contract.
Continue reading “The Preliminary Contract for the Sale of an Existing or Planned Residential Immovable can be Enforced by an Action for the Transfer of Title？– #57”Lawyers who refer clients to other professionals or advisors should act competently, prudently and diligently in making such referrals. – #55
Factual Background
Before 2002, Mr. Thompson and his wife, Mrs. Thompson had been operating restaurant franchises in Ontario and Quebec. They have established four companies for the purpose of operating the restaurants (“Companies”). In 2002, they sold all of their restaurant franchises but one. With that one exception, the Companies remained owners of the real estate only.
In 2003, Mr. Thompson passed away. Mr. Thompson left two wills, in which he created three trusts for his grandchildren and one trust (“Trust”) for most of his assets, including his shares in the Companies. The wills named Mrs. Thompson as the income beneficiary of the Trust until her death. The wills also named Mrs. Thompson, Mr. Gemmill (Mr. Thompson’s lawyer in Ontario) and Mr. Miller (brother-in-law of Mr. Thompson) as the trustees and executors under the wills. The capital of the Trust was to be distributed to the children of the couple after Mrs. Thompson’s death. The purpose of this arrangement was to provide Mrs. Thompson with financial security while preserving the capital for the children.
Continue reading “Lawyers who refer clients to other professionals or advisors should act competently, prudently and diligently in making such referrals. – #55”Leave to Appeal Refused When the Arbitral Tribunal Empowered by ICC Arbitration Rules Bars Late-Raised Legal Argument for Procedural Fairness – #53
This post aims to summarize part of the analysis in the Court of Queen’s Bench of Alberta’s decision on TR Canada Inc v Cahill Industrial Limited, 2021 ABQB 274.
Factual Background
In August 2014, TR Canada Inc. (“TR”) was awarded a contract to be the general contractor responsible for the construction of two gas turbine generators and two heat recovery steam generators, which are connecting to the Fort Hills electrical system.
TR subcontracted the physical work to Cahill Industrial Ltd. (“Cahill”). Cahill was required to perform the “balance of plant works”, which included the electro-mechanical erection works of the project. The terms of the subcontract between TR and Cahill referred the disputes between the parties to arbitration.
A number of disputes arose between TR and Cahill during the project. Those disputes related to coordination and sequencing of the various subcontractors and works, as well as changes and additions to the scope of work.
On December 4, 2018, the pleadings of the arbitration proceeding between TR and Cahill commenced.
Continue reading “Leave to Appeal Refused When the Arbitral Tribunal Empowered by ICC Arbitration Rules Bars Late-Raised Legal Argument for Procedural Fairness – #53”Law of Trusts in Ontario: The Creation of Joint Account Represents an Inter vivos Gift of the Right of Survivorship? – #52
This article intends to analyze how to determine the actual intention of the ageing parent who opens a joint bank account with his or her child in Ontario by summarizing the Supreme Court of Canada’s decision on Pecore v. Pecore, 2007 SCC 17. These types of joint accounts are used by many Canadians for a variety of purposes, including estate-planning and financial management. As joint bank accounts are widely used among the family members in Canada, the courts are often requested to determine the intention of the parent who opens the joint bank account in order to decide who has legal right for the balance remaining in the account at the date of death of the parent. The common question is whether the parent intended to make a gift of the beneficial interest in the accounts upon his or her death to the child who holds the joint account or whether the parent intended that this child holds the assets in the accounts in trust for the benefit of his or her estate to be distributed according to the will.
Continue reading “Law of Trusts in Ontario: The Creation of Joint Account Represents an Inter vivos Gift of the Right of Survivorship? – #52”Family Patrimony and Trusts in Quebec: Whether Family Residence Acquired by Trust is Included in Family Patrimony – #50
This post aims at summarizing the Supreme Court of Canada’s majority reasoning on Yared c. Karam, 2019 CSC 62.
Factual Background
In October 2011, Mr. K established a trust to protect their family’s assets for the benefits of his wife, Mrs. Y and their four children. The trustees are Mr. K and his mother. The initial beneficiaries were Mrs. Y and their four children. The trust conferred extensive powers of “Appointer” on Mr. K: 1) the power to appoint new beneficiaries, including himself; 2) the power to destitute any beneficiaries; and 3) the power to decide to which beneficiaries and in what proportion the revenues and capital of the trust would be paid.
In June 2012, the trust acquired a residence with funds transferred by the spouses. Then the family moved in the new residence. Mr. K stated that the house would serve both as the family residence and as an investment protected under the trust for the benefit of his children.
Continue reading “Family Patrimony and Trusts in Quebec: Whether Family Residence Acquired by Trust is Included in Family Patrimony – #50”L’évaluation de la perte de revenus futurs en matière de responsabilité civile : Le calcul au point d’incapacité est incompatible avec les méthodes approuvées par la jurisprudence à la suite de la trilogie de 1978 – #49
En matière de responsabilité civile, la victime a droit à des dommages-intérêts en réparation du préjudice futur lorsqu’il est certain et qu’il est susceptible d’être évalué (Art. 1607 et Art. 1611 C.c.Q.). Or, il est souvent difficile de quantifier la perte de revenus futurs subie par la victime. Il convient de rappeler que l’évaluation de la perte de revenus futurs doit être fonction de la preuve et non consister en un système basé sur une valeur définie par le pourcentage d’incapacité partielle permanente (Maison Simons inc. c. Lizotte, 2010 QCCA 2126). L’existence d’une incapacité partielle permanente ne se traduit pas nécessairement par une perte de capacité de gains futurs. Cet article vise à introduire brièvement l’évaluation de la perte de revenus futurs en matière de responsabilité civile. Il est important de noter que les faits suivants sont fictifs et ont été créés par l’auteur afin d’établir un contexte propice à l’analyse.
Continue reading “L’évaluation de la perte de revenus futurs en matière de responsabilité civile : Le calcul au point d’incapacité est incompatible avec les méthodes approuvées par la jurisprudence à la suite de la trilogie de 1978 – #49”The Supreme Court of Canada (7:0) allowed the appeal and reinstated the supervising judge’s order under the CCAA
Bankruptcy and insolvency can trigger catastrophic consequences. Often, large claims of unsecured creditors are left unpaid (Para. 1 of Sun Indalex Finance v. United Steelworkers, 2013 SCC 6). The Companies’ Creditors Arrangement Act (“CCAA”) is one of the three principal insolvency statutes in Canada. The CCAA pursues an array of overarching remedial objectives. These legislative objectives include: “providing for timely, efficient and impartial resolution of a debtor’s insolvency; preserving and maximizing the value of a debtor’s assets; ensuring fair and equitable treatment of the claims against a debtor; protecting the public interest; and, in the context of a commercial insolvency, balancing the costs and benefits of restructuring or liquidating the company.” (Para. 40 of Callidus, 2020 SCC 10)
Continue reading “The Supreme Court of Canada (7:0) allowed the appeal and reinstated the supervising judge’s order under the CCAA”