Baumgarten v. Kemp

Baumgarten v. Kemp

The motion judge’s factual findings—that the 2022 Honda purchase was unnecessary, the customizations added little value, and there was limited evidence to alter findings on James Kemp’s salary—were supported by the record and not unreasonable; accordingly there was no basis for appellate interference and the appeal...

Source-derived case information.

Citation
2025 ONCA 456
Parties
Plaintiff/respondent: Michele Baumgarten; Plaintiff/respondent: Driftwood Beach Park Limited; Plaintiff/respondent: 1581785 Ontario Inc.; Plaintiff/respondent: A. Baumgarten & Sons Limited; Plaintiff/respondent: Pigamint Investment Corporation; Defendant/appellant: Audrey Lynn Kemp; Defendant/appellant: James Kemp; Defendant/appellant: Driftwood Beach Park Limited; Defendant/appellant: 1581787 Ontario Inc.; Defendant/appellant: A. Baumgarten & Sons Limited; Defendant/appellant: Pigamint Investment Corporation
Court
Court of Appeal for Ontario
Jurisdiction
Canada
Judgment Date
20 June 2025
Procedural Posture
Civil Appeal From Superior Court of Justice Order / Court of Appeal Decision on Appeal From Motion Judge Concerning Distribution of Trust Funds
Outcome
Appeal dismissed
Legal Topics
Distribution of Trust Funds, Reimbursement, Unnecessary Corporate Expenditure, Compensation and Salary, Standard of Appellate Review, Motion Judge Discretion
Source Language
english
Civil Property Trusts Costs Corporate Governance Distribution of Trust Funds Reimbursement Unnecessary Corporate Expenditure +3 more

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Parties

Michele Baumgarten

Plaintiff/respondent

Driftwood Beach Park Limited

Plaintiff/respondent

1581785 Ontario Inc.

Plaintiff/respondent

A. Baumgarten & Sons Limited

Plaintiff/respondent

Pigamint Investment Corporation

Plaintiff/respondent

Audrey Lynn Kemp

Defendant/appellant

James Kemp

Defendant/appellant

Driftwood Beach Park Limited

Defendant/appellant

1581787 Ontario Inc.

Defendant/appellant

A. Baumgarten & Sons Limited

Defendant/appellant

Pigamint Investment Corporation

Defendant/appellant

Procedural Posture

Civil Appeal From Superior Court of Justice Order / Court of Appeal Decision on Appeal From Motion Judge Concerning Distribution of Trust Funds

  1. 1 Whether the motion judge erred in directing distribution of funds remaining in trust following corporate asset sale and reimbursements
  2. 2 Whether the purchase and customizations of the 2022 Honda were unnecessary and whether their value should be deducted from company funds
  3. 3 Whether the motion judge erred in findings about appropriate salary for James Kemp

Ratio Decidendi

The motion judge’s factual findings—that the 2022 Honda purchase was unnecessary, the customizations added little value, and there was limited evidence to alter findings on James Kemp’s salary—were supported by the record and not unreasonable; accordingly there was no basis for appellate interference and the appeal was dismissed with costs to the respondents.

Court Disposition

Appeal dismissed

Orders

  • Appeal dismissed
  • Costs of the appeal to the respondents on a partial indemnity scale in the agreed-upon amount of $7,500 inclusive of disbursements and HST