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The court held all disputed farmland encumbrances were permitted under clause 22, found Crown Fortune breached by refusing to close, and awarded Bonnefield the $1,000,000 deposit.
Foreclosure petition referred to the trial list after the respondents raised bona fide triable issues about the purpose, validity, and accounting of a second mortgage.
Foreclosure proceeding in which the respondents argued COVID-19 frustrated the mortgages or estopped enforcement. The court rejected both defences and granted an order nisi.
The court held that a bare assignment of surface-lease rents can create an interest in land if the parties intended it to run with the land. The appeal was dismissed.
The Court held that an assignment of rents can create a registerable interest in land if the parties intended that result, so the Bodes remained entitled to the rental payments.
The Master found the property was properly marketed, the $530,000 sale price was reasonable, and there was no triable issue that Westpoint came to court with unclean hands or that the alleged settlement prevented the sale (Erin was not a party to the petition, did not complete the payment and conditions for delivery of trust funds were unmet); accordingly the sale was approved.
Source excerpt
The court held CareVest could not use a collateral mortgage to recover solicitor-and-own-client costs after Scale A costs had already been ordered in foreclosure proceedings.
Registrar assessed the mortgage redemption account, fixed rent receipts at $70,639, disallowed roof repair charges, and allowed most other management and legal expenses.
The court held that an alleged voidable fraudulent conveyance did not defeat the mortgagees’ security and granted an order nisi of foreclosure.
The Court of Appeal for British Columbia dismissed an application to vary a single-judge order refusing leave to appeal a foreclosure order nisi.
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