Court Of Appeal Summaries (August 21 ' August 25, 2023)

• Published date: 29 August 2023
• Subject Matter: Finance and Banking, Litigation, Mediation & Arbitration, Criminal Law, Insolvency/Bankruptcy/Re-structuring, Charges, Mortgages, Indemnities, Financial Services, Fund Management/ REITs, Insolvency/Bankruptcy, Arbitration & Dispute Resolution, Trials & Appeals & Compensation, White Collar Crime, Anti-Corruption & Fraud, Civil Law
• Law Firm: Blaney McMurtry LLP
• Author: Mr John Polyzogopoulos

Good afternoon.

Following are this week's summaries of the Court of Appeal for Ontario for the week of August 21, 2023.

In Sase Aggregate Ltd. v. L, Sase discovered its pit manager apparently stole $2.1 million and pursued a constructive trust claim over a property owned by the manager's wife, Ms. L., alleging she benefited from the stolen money. The Court found that the application judge did not misstate the law and correctly identified the requirements for unjust enrichment. The Court also determined that Sase failed to adequately trace the funds and establish Ms. L's connection to the alleged fraudulently obtained proceeds. The appeal was dismissed.
Other topics covered this week included an appeal from a vesting order, appellate jurisdiction in an OBCA case and stay pending appeal.

Wishing everyone an enjoyable weekend.

John Polyzogopoulos
Blaney McMurtry LLP
416.593.2953 Email

Ines Ferreira
Blaney McMurtry LLP
416.593.2953 Email

Table of Contents

Civil Decisions

Sase Aggregate Ltd. v. L, 2023 ONCA 554

Keywords: Torts, Fraud, Unjust Enrichment, Knowing Receipt, Knowing Assistance, Remedies, Tracing, Constructive Trust, Soulos v. Korkontzilas, [1997] 2 S.C.R. 217, B.M.P. Global Distribution Inc. v. Bank of Nova Scotia, 2007 BCCA 52, 278 D.L.R. (4th) 501, rev'd on other grounds 2009 SCC 15, Re Oatway, [1903] 2 Ch. 356, Peel (Regional Municipality) v. Canada; Peel (Regional Municipality v. Ontario, [1992] 3 S.C.R. 762

Rose-Isli Corp v Smith, 2023 ONCA 548

Keywords: Bankruptcy and Insolvency, Receiverships, Sales Process, Mortgages, Right of Redemption, Mortgages Act, R.S.O. 1990, c. M.40, s. 2, Rose-Isli Corp. v. Frame-Tech Structures Ltd., 2022 ONSC 4135, BCIMC Construction Fund Corporation et al. v. The Clover on Yonge Inc., 2020 ONSC 3659, Royal Bank of Canada v. Soundair Corp., (1991), 4 O.R. (3d) 1 (C.A.), B&M Handelman Investments Limited v. Mass Properties Inc. (2009), 55 C.B.R. (5th) 271 (Ont. S.C.)

Short Civil Decisions

Foglia v. Grid Link Corp, 2023 ONCA 560

Keywords: Corporations, Oppression, Civil Procedure, Appeals, Jurisdiction, Business Corporations Act, R.S.O. 1990, c. B.16, s. 255, Courts of Justice Act, R.S.O. 1990, c. C.43, s. 110, Gustafson v. Johnson, 2017 ONCA 581, Buccilli v. Pillitteri, 2016 ONCA 775

Buffone v. Sokil, 2023 ONCA 558

Keywords: Civil Procedure, Judgments, Enforcement, Writs of Possession, Appeals, Stay Pending Appeal, Mootness

CIVIL DECISIONS

Sage Aggregate Ltd. v L., 2023 ONCA 544

[van Rensburg, Miller and Nordheimer JJ.A.]

COUNSEL:

C. Carter, for the appellant

J. Montgomery, for the respondent

Keywords: Torts, Fraud, Unjust Enrichment, Knowing Receipt, Knowing Assistance, Remedies, Tracing, Constructive Trust, Soulos v. Korkontzilas, [1997] 2 S.C.R. 217, B.M.P. Global Distribution Inc. v. Bank of Nova Scotia, 2007 BCCA 52, 278 D.L.R. (4th) 501, rev'd on other grounds 2009 SCC 15, Re Oatway, [1903] 2 Ch. 356, Peel (Regional Municipality) v. Canada; Peel (Regional Municipality v. Ontario, [1992] 3 S.C.R. 762

FACTS:

The appellant, Sase, owned and operated a gravel pit in Uxbridge, Ontario. In 2021, it discovered evidence that its pit manager, JS, had defrauded the company of more than $2.1 million over a period of several years.

Sase brought an application seeking to recover its stolen funds not against JS, but instead against his wife, the respondent Ms. L. Sase claimed that its stolen funds were used to purchase and renovate a property owned by Ms. L (the 'Property')...