Meridian Credit Union Limited v. 984 Bay Street Inc.
The motion judge's broad statement that a sale could be free of leases without regard to equities was incorrect; the proper approach requires consideration of equitable factors and parties must be given the opportunity to lead evidence on those equities, therefore the appeal is allowed, the order set aside and the...
Source-derived case information.
- Citation
- C44279
- Parties
- Plaintiff: Meridian Credit Union Limited; Defendant: 984 Bay Street Inc.; Defendant: Devendranauth Misir also known as Dev Misir
- Court
- Court of Appeal for Ontario
- Jurisdiction
- Canada
- Judgment Date
- 5 May 2006
- Procedural Posture
- Collection / Appeal Court of Appeal Judgment
- Outcome
- Appeal allowed; order set aside; matter remitted to the Superior Court of Justice.
- Legal Topics
- Sale Free of Leases, Equitable Considerations, Costs
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Meridian Credit Union Limited
Plaintiff
984 Bay Street Inc.
Defendant
Devendranauth Misir also known as Dev Misir
Defendant
Procedural Posture
Collection / Appeal Court of Appeal Judgment
Legal Issues
- 1 Whether a receiver's power to sell property free of leases negates the requirement to consider equitable factors
- 2 Whether appellants were required to lead evidence on equities once the legal issue was determined
- 3 Whether the motion judge's statement of law was overly broad
Ratio Decidendi
The motion judge's broad statement that a sale could be free of leases without regard to equities was incorrect; the proper approach requires consideration of equitable factors and parties must be given the opportunity to lead evidence on those equities, therefore the appeal is allowed, the order set aside and the matter remitted for further consideration.
Court Disposition
Appeal allowed; order set aside; matter remitted to the Superior Court of Justice.
Orders
- Order set aside
- Matter remitted back to the Superior Court of Justice for further proceedings regarding equities and evidence
Full Case Text
Judgment text and source record
1 paragraphs
Meridian Credit Union Limited v. 984 Bay Street Inc. Collection Decisions of the Court of Appeal Date 2006-05-05 Docket numbers C44279 Judges Rosenberg, Marc; Moldaver, Michael James; Lang, Susan Elizabeth Subject Civil Decision Content DATE: 20060502 DOCKET: C44279 COURT OF APPEAL FOR ONTARIO RE: MERIDIAN CREDIT UNION LIMITED (Plaintiff) – and – 984 BAY STREET INC., and DEVENDRANAUTH MISIR also known as DEV MISIR (Defendants) BEFORE: ROSENBERG, MOLDAVER and LANG JJ.A. COUNSEL: Sean Cumming for Integrated Health Investments Corporation Benjamin Salsberg for Bay Wellesley Health Services Paul G. MacDonald and Jason Murphy for KPMG, the Receiver Martin Kaplan Meridian Credit Union Limited HEARD & ENDORSED: April 28, 2006 On appeal from the order of Justice John D. Ground of the Superior Court of Justice dated September 6, 2005. APPEAL BOOK ENDORSEMENT [1] The receiver properly concedes that the motion judge’s statement of law is overly broad and even if there was a power to sell free of the leases, the motion judge would still be required to consider the equities. Having regard to the endorsement of August 26, 2005 we cannot be satisfied that the appellants knew that they had to lead evidence about the equities once the legal issue was determined. [2] Accordingly, the appeal is allowed and the order is set aside and the matter is remitted back to the Superior Court of Justice with costs fixed at $4,000 inclusive of G.S.T. and disbursements. [3] Costs of the motion reserved to the judge hearing the matter.