McGuire v. Ottawa Wine Vaults Co.

McGuire v. Ottawa Wine Vaults Co.

The conveyance was a voluntary settlement that denuded the grantor of the greater part of his available assets on the eve of his hazardous business operations; it was therefore made to protect the conveyed property from future creditors and is void as against creditors under the Statute of Elizabeth (13 Eliz.).

Source-derived case information.

Citation
(1913) 48 SCR 44
Parties
Appellant / Defendant: John L. McGuire; Appellant / Defendant: Hattie McGuire; Respondent / Plaintiff: The Ottawa Wine Vaults Company; Respondent / Plaintiff: Capital Brewing Company
Court
Supreme Court of Canada
Jurisdiction
Canada
Judgment Date
6 May 1913
Procedural Posture
Appeal (fraudulent Conveyance / Creditors' Suit) / Supreme Court of Canada Appeal From Court of Appeal for Ontario
Outcome
Appeal dismissed; judgment of Court of Appeal for Ontario affirmed
Legal Topics
Statute of Elizabeth (13 Elizabeth), Voluntary Settlement, Subsequent Creditors, Dower Rights, Goodwill Valuation, Onus of Proof in Voluntary Settlements
Source Language
english
Fraudulent Conveyance Insolvency Property Law Family Law Equity Statute of Elizabeth (13 Elizabeth) Voluntary Settlement Subsequent Creditors +3 more

Source-derived case record

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Legal principles 4 Authorities cited 7 Party arguments 2 Amounts and remedies 9
Sign in to unlock

Parties

John L. McGuire

Appellant / Defendant

Hattie McGuire

Appellant / Defendant

The Ottawa Wine Vaults Company

Respondent / Plaintiff

Capital Brewing Company

Respondent / Plaintiff

Procedural Posture

Appeal (fraudulent Conveyance / Creditors' Suit) / Supreme Court of Canada Appeal From Court of Appeal for Ontario

Legal Issues

  1. 1 Whether the conveyance by the husband to his wife was a voluntary settlement void as against creditors under 13 Elizabeth
  2. 2 Whether subsequent creditors may set aside the conveyance and what onus of proof applies in voluntary settlements
  3. 3 Whether the grantor was left without sufficient means or reasonable expectation to pay existing debts at time of conveyance

Ratio Decidendi

The conveyance was a voluntary settlement that denuded the grantor of the greater part of his available assets on the eve of his hazardous business operations; it was therefore made to protect the conveyed property from future creditors and is void as against creditors under the Statute of Elizabeth (13 Eliz.).

Court Disposition

Appeal dismissed; judgment of Court of Appeal for Ontario affirmed

Orders

  • Appeal dismissed with costs
  • Conveyance by John L. McGuire to Hattie McGuire declared void as against creditors and set aside