Court Of Appeal Summaries (July 14-18, 2025)

• Published date: 25 July 2025
• Law Firm: Blaney McMurtry LLP
• Author: John Polyzogopoulos

Jump To: Table of Contents | Civil Decisions | Short Civil Decisions

Good afternoon.
Following are our summaries of the civil decisions of the Court of Appeal for Ontario for the week of July 14-18, 2025. It was a full week that highlighted decisions in family and estates law.

Ontario Inc. v. Savannah Wells Holdings Inc. discusses the statutory right to rescind a franchise agreement under the Arthur Wishart Act, as well exemptions from franchise disclosure. The Court agreed with the trial judge that the exemption claimed was not applicable in this case. The Court therefore upheld the trial judge's finding that the franchise agreement had been properly rescinded, and the franchisee was entitled to rescission damages under the Act.

In Ahmed v. Abdelmoaein, the Court held that the application judge misapplied the article 13(a) exception in the Hague Convention regarding consent or acquiescence to a child's retention. The Court clarified that consent or acquiescence must relate specifically to the wrongful retention at the relevant time. The appellant's general consent to future travel or relocation to Ontario did not amount to consent or acquiescence to the child's wrongful retention in Ontario. The Court allowed the appeal and ordered the child's return to the UK.

Muscat v. Muscat Estate involved the removal of estate trustees due to a conflict of interest and breach of fiduciary duty. The Court dismissed the appeal and upheld the motion judge's decision to remove the trustees and order personal costs against them because their actions in attempting to sell the business owned by the estate over the objections of one of the beneficiaries were unreasonable and contrary to the best interests of the beneficiary. The estate trustees had recommended the sale of the business in the face of evidence produced by the beneficiary that the business was worth many times more, they had conducted no investigations of their own into the value of the business, and one of the estate trustees had an intimate relationship to whom they wished to sell the business.

In Di Nardo v. Nagy, an estate trustee was found in contempt of court and warrant of committal was issued against her. She did not appeal that order, which was stayed pending the determination of her application to pass her accounts. Two years later, her application to pass her accounts was also dismissed.. The Court stayed the contempt order and warrant for committal pending a pending motion to the Superior Court to stay that order pending the outcome of the appeal from the dismissal of the application to pass accounts.

In 2708959 Ontario Inc. v. Stratford (City), the appellant bought a property in 2019 and later applied to re-zone it. The city discovered four encroachments onto municipal land, which had not been clearly identified in the original 1998 building plans and had not been approved by the city. The city required an encroachment agreement under a 2006 policy regarding encroachments. The appellant's appeal from the finding that they were subject to the 2006 policy was dismissed. However, the Court suggested the city exercise some leniency on the terms it imposed given that the appellant was innocent of any wrongdoing and the encroachments were minor.

In Alami v. Haddad, the Court dismissed the appeal from an order that found the respondent had a 50% beneficial interest in the former matrimonial home by way of a resulting trust. The Court also confirmed the appellant's sole liability for post‑separation refinancing.

Janic v. Janic is a family law decision where the father's appeal from an order for support and imputing income to him was dismissed.

Mullin v. Sherlock involved an appeal from an order awarding spousal support and damages for unjust enrichment in respect of a joint family venture following a long cohabitation and brief marriage. The Court dismissed the appeal.

In Peoples Trust Company v. PSP Services Inc., the Court partially lifted the automatic stay of a contempt order that was partly under appeal that required the responding party to pay $1,998,612.07 into court pending the completion of an audit. The appellant acknowledged that its ability to proceed with its appeal would not be affected by the payment into court of this amount.

In Hordo v. CAA Insurance Company, the Court granted the appellants' motion for an extension of time to seek leave to appeal.

Other topics included the refusal to set aside the administrative dismissal of an appeal for delay.

Wishing everyone an enjoyable weekend.

Table of Contents

Civil Decisions

2355305 Ontario Inc. v. Savannah Wells Holdings Inc., 2025 ONCA 505

Keywords: Contracts, Franchise Agreements, Franchise Disclosure, Exemptions, Remedies, Rescission, Damages, Civil Procedure, Offers to Settle, Substantial Indemnity Costs, Arthur Wishart Act (Franchise Disclosure), 2000, S.O. 2000, c.3, ss. 5(1), 5(1.1), 5(7), 5(8) and 6(6), Rules of Civil Procedure, r. 49.10, 2189205 Ontario Inc. v. Springdale Pizza Depot Ltd., 2011 ONCA 467, 2256306 Ontario Inc. v. Dakin News Systems Inc., 2016 ONCA 74, Brad-Jay Investments Ltd. v. Szijjarto (2006), 218 O.A.C. 315 (C.A.)

Ahmed v. Abdelmoaein, 2025 ONCA 508

Keywords: Family Law, Parenting, Relocation, Child Abduction, Best Interests of the Child, Convention on the Civil Aspects of International Child Abduction, Can. T.S. 1983 No. 35, Children's Law Reform Act, R.S.O. 1990, c. C.12, s. 46, Office of the Children's Lawyer v. Balev, 2018 SCC 16, Leigh v. Rubio, 2022 ONCA 582, Ludwig v. Ludwig, 2019 ONCA 680, Katsigiannis v. Kottick-Katsigiannis (2001), 55 O.R. (3d) 456 (C.A.), Unger v. Unger, 2017 ONCA 270, Hammerschmidt v. Hammerschmidt, 2013 ONCA 227, Jackson v. Graczyk, 2007 ONCA 388, F. v. N., 2022 SCC 51

Muscat v. Muscat Estate, 2025 ONCA 518

Keywords: Wills and Estates, Estate Administration, Estate Trustees, Removal, Breach of Fiduciary Duty, Conflict of Interest, Civil Procedure, Costs, Trustee Act, R.S.O. 1990, c. T.23, s. 35(1), Chambers Estate v. Chambers, 2013 ONCA 511, Westover Estate v. Jolicouer, 2024 ONCA 81, Salter v. Salter Estate (2009), 50 E.T.R. (3d) 227 (Ont. S.C.), Johnson v. Johnson, 2022 ONCA 682

Di Nardo v. Nagy, 2025 ONCA 523

Keywords: Wills and Estates, Civil Procedure, Contempt, Warrants of Committal, Appeals, Stay Pending Appeal, Courts of Justice, R.S.O. 1990, c. C.43, s. 134(2), Rules of Civil Procedure, rr. 60.11(8), 63.01(1), Abuzour v. Heydary, 2015 ONCA 249, Waxman v. Waxman, [2003] O.J. No. 73 (C.A.), Ahani v. Canada (Attorney General) (2002), 155 O.A.C. 1 (C.A.), Peel (Regional Municipality) v. Great Atlantic & Pacific Co. of Canada Ltd. (1990), 74 O.R. (2d) 161, RJR-MacDonald Inc. v. Canada (Attorney General), [1995] 3 S.C.R. 199

2708959 Ontario Inc. v. Stratford (City), 2025 ONCA 512

Keywords: Real Property, Encroachments, Municipal Law, Land Use Planning, Zoning, Road Allowances, Statutory Interpretation, Retroactivity, Oro-Medonte (Township) v. Warkentin, 2013 ONSC 1416, Visnjic v. Town of LaSalle, 2017 ONSC 2082

Alami v. Haddad, 2025 ONCA 527

Keywords: Family Law, Property, Matrimonial Home, Resulting Trusts, Equalization of Net Family Property, Post-Separation Adjustments, Family Law Act, R.S.O. 1990, c. F.3, ss. 5(6), 10(1), 14, Martin v. Sansome, 2014 ONCA 14, Rawluk v. Rawluk, [1990] 1 S.C.R. 70, Korman v. Korman, 2015 ONCA 578, Pecore v. Pecore, 2007 SCC 17, Belokon v. Krygyz Republic, 2016 ONCA 981, Entes Industrial Plants Construction & Erection Contracting Co. v. Kyrgyz Republic, [2017] S.C.C.A. No. 74, Qu v. Zhang, 2025 ONCA 391

Janic v. Janic, 2025 ONCA 509

Keywords: Family Law, Child Support, Imputing Income, Variation, Material Change of Circumstances, Civil Procedure, Procedural and Natural Justice, Reasonable Apprehension of Bias, Divorce Act, R.S.C., 1985, c. 3 (2nd Supp.), Federal Child Support Guidelines, S.O.R./97-175., Criminal Code, R.S.C., 1985, c. C-46, Income Tax Act, R.S.C., 1985, c. 1 (5th Supp.), Korman v. Korman, 2015 ONCA 578, Bak v. Dobell, 2007 ONCA 304, Colucci v. Colucci, 2021 SCC 24, R. v. Esseghaier, 2021 ONCA 162, Director, Family Responsibility Office v. Janic, 2022 ONSC 3848

Mullin v. Sherlock, 2025 ONCA 510

Keywords: Family Law, Property, Equalization of Net Family Property, Unjust Enrichment, Joint Family Ventures, Damages, Spousal Support, Civil Procedure, Disclosure, Evidence, Adverse Inferences, Non-Disclosure, Courts of Justice Act s. 128(1), R.S.O. 1990, c. C.43, s. 128, Family Law Act, R.S.O. 1990, c. F.3, Iredale v. Dougall, 2025 ONCA 266, Mullin v. Sherlock, 2018 ONCA 1063, Mullin v. Sherlock, 2017 ONSC 6762, Martin v. Sansome, 2014 ONCA 14, Lesko v. Lesko, 2021 ONCA 369, Hickey v. Hickey, [1999] 2 S.C.R. 518, at para. 12, Cronier v. Cusack, 2023 ONCA 178, McNamee v. McNamee, 2011 ONCA 533, Kerr v. Baranow, 2011 SCC 10, [2011] 1 S.C.R. 269, Derakhshan v. Narula, 2018 ONSC 537, Meade v. Meade (2002), 31 R.F.L. (5th) 88 (Ont. S.C.), Spousal Support Advisory Guidelines (Ottawa: Department of Justice, 2008)

Peoples Trust Company v. PSP Services Inc., 2025 ONCA 524

Keywords: Contracts, Penalties, Civil Procedure, Contempt, Orders, Payment of Money, Appeals, Automatic Stay Pending Appeal, Lifting of Stay, Rules of Civil Procedure, r. 63.01(5), Hrvoic v. Hrvoic, 2023 ONCA 288, Antunes v. Limen Structures Ltd., 2016 ONCA 61, SA Horeca Financial Services v. Light, 2014 ONCA 811, Digiammatteo v. Leblanc (1989), 71 O.R. (2d) 130 (C.A.), Stein v. Sandwich West (Township) (1994), 16 O.R. (3d) 321 (C.A.), Susin v. Susin, 2014 ONCA 733, R. v. Elenzi, 2021 ONCA 834, R. v. Lacasse, 2015 SCC 64, Business Development Bank of Canada v. Cavalon Inc., 2017 ONCA 663

Hordo v. CAA Insurance Company, 2025 ONCA 529

Keywords: Civil Procedure, Appeals, Leave to Appeal, Extension of Time, Courts of Justice Act, R.S.O. 1990, c. C.43, s. 6, Rules of Civil Procedure, r. 61.03.1, Enbridge Gas Distribution Inc. v. Froese, 2013 ONCA 131, Liu v. Chan, 2024 ONCA 699, Robson v. Law Society of Ontario, 2023 ONCA 709, Codina v....