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Application to recover trust funds dismissed. The Court held that where a debtor did not specify allocation of payment among multiple judgment debts, creditors could appropriate the funds among themselves.
The court found there was a sufficient undisputed factual scaffold to decide the legal questions under Rule 12. It held that Dora was not liable to pay the assignee Liteco because Dora had effectively paid project funds to Barkhouse which were passed to Liteco such that Liteco was paid in full and received more than the invoiced project amounts, and Liteco accepted those payments contrary to the joint cheque arrangement. Further, funds were impressed with a trust under the Builders' Lien Act and Liteco could not appropriate those trust funds to unrelated prior debts and then claim a lien for…
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The Court of Appeal refused a stay of Registrar proceedings and execution, but ordered CTL and the Prydes to post $7,000 security for appeal costs.
The Court of Appeal dismissed Moran’s appeal and upheld the trial costs order, finding no error in the judge’s exercise of discretion and awarding costs of the appeal to the respondent.
The court held that the defendant signed the guarantee and that payments were attributed to the May 2002 loan; the plaintiff was estopped from re-allocating them, so the action was dismissed.
The Court of Appeal held that unallocated payments were not shown to confirm the mortgage debt, so the foreclosure action was statute barred.
The court held that the bank could enforce the guarantee without giving the guarantor prior notice of default, rejecting implied-term, estoppel, laches, and Bank Act arguments.
The court applied builders’ lien trust principles to a $200,000 payment and held Price’s Abbotsford lien was reduced, but not eliminated, to $42,629.
The Supreme Court of Canada held that an equivocal letter expressing a wish to end a guarantee did not amount to the written notice required to terminate liability.
The Supreme Court of Canada held that Gordon was discharged as surety after Hebblewhite hypothecated the note generally to his bank and failed to make the full promised advances.
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