Fraudulent Conveyance Act Protects Future Potential Creditors

Sabrina Saltmarsh, B.A. (Hons), J.D.Business Fraud, Commercial Litigation, Creditors Rights, Embezzlement, Fraud, Fraud Recovery, Fraudulent Schemes, International Trade Fraud, Investment Fraud, Securities Fraud0 Comments

In the recent Court of Appeal decision of Ontario Securities Commission v. Camerlengo Holdings Inc., 2023 ONCA 93, the Court of Appeal overturned a motion judges decision to strike the Ontario Securities Commission’s (“OSC”) claim made pursuant to s.2 of the Fraudulent Conveyance Act, R.S.O. 1990, c. F. 19 (“FCA”) due to lack of particularity. The Court of Appeal held that it is not necessary for a creditor to be known to the debtor at the time of a potentially fraudulent conveyance, it is enough that the debtor perceived a risk of claims from a general class of future creditors and conveyed the property with the intention to evade such creditors if they arose. The Facts Fred Camerlengo a retired electrician and the sole director of the Defendant corporation, Camerlengo Holdings Inc. (Holdco), conveyed his interest in the family home to his wife Mirella Camerlengo, a retired teacher, which was … Read More

Are Examinations by Video Conference the “New Normal” During COVID-19?

Nick P. Poon, B.Sc. (Hons.), B.A., J.D.Civil Litigation, Commercial, Coronavirus, COVID-19, Investment | Financial Services, Investment Fraud, Professional Liability, Securities Fraud, Securities Litigation0 Comments

On March 17, 2020, Ontario declared a State of Emergency due to the COVID-19 pandemic and ushered in a new era of physical and social distancing rules.  Individuals are required to maintain a minimum distance of two metres from any other person who is not a member of the same household.  Gatherings of more than five people are banned unless they are members of a single household. Since March 17, 2020, the Ontario Superior Court of Justice has suspended all regular operations, including hearings for civil matters except urgent and time-sensitive motions and applications and other limited matters such as consent motions in writing.  Most of these hearings are conducted in writing, or remotely by telephone or video conference, due to physical and social distancing rules.  In-person hearings would only be granted in very limited circumstances. Although the Court may be closed for the time being, civil litigants and their … Read More

Gilbertson Davis LLP Successfully Defends Against Appeal of Decision Enforcing Liquidated Damages in Settlement Contract

Andrew Ottaway, B.A. (Hons.), LL.B.Appeals, Appellate Advocacy, Business Litigation, Civil Litigation, Commercial and Contract Litigation, Contract Disputes, Fraud, Fraudulent Schemes, Gilbertson Davis LLP News, Investment Fraud, Summary Judgment0 Comments

In Haas v. Viscardi, 2019 ONCA 133, Andrew Ottaway of Gilbertson Davis LLP assisted the plaintiff in securing his settlement agreement with a defendant (in an earlier investment fraud litigation) with a liquidated damages clause.  Specifically, the defendant was required to pay $60,000 if he failed to make prompt payments under the subject settlement agreement. The defendant, after defaulting, refused to honour the liquidated damages clause.  However, on the plaintiff’s motion for summary judgment, the motion judge upheld the liquidated damages clause and granted judgment.  Our blog post on the motion decision can be found here. On appeal, in Haas v. Viscardi, 2019 ONCA 133, the Court of Appeal rejected the defendant’s argument that the liquidated damages clause was an unenforceable penalty clause, and upheld the motion judge’s decision granting summary judgment.  The Court of Appeal also enforced the provision in the settlement agreement requiring that the defendant pay the plaintiff’s … Read More

Toronto Lawyers for Victims of Investment Fraud: When Investing in a Toronto Business Goes Bad

David Alderson, LL.B, LL.M (Commercial and Corporate), Lawyer, Qualified Arbitrator and MediatorAppeals, Appellate Advocacy, Broker and Agent Claims, Business Litigation, Civil Litigation, Commercial Arbitration, Commercial Litigation, Contract Disputes, Fraud, Fraud Recovery, Injunction & Specific Performance, Investment Fraud, Summary Judgment0 Comments

A bad investment may not be the result of market fluctuations. A false representation inducing and leading to an investment loss may be actionable at law. Often there is a promised  high-yield on an investment in a company, project or property.  Sometimes a loss occurs from a scheme where there is no intention by those entrusted with an investment to make the promised purchase or transfer. In Ontario, civil lawsuits for the victims of investment fraud have often been framed as claims for deceit, fraudulent misrepresentation, civil conspiracy,  breach of contract, unjust enrichment and restitution. Increasingly though, plaintiffs in lawsuits simply claim damages for losses arising directly from the tort of civil fraud. The leading case on civil fraud in Canada is the Supreme Court of Canada decision in 2014 in Hryniak v. Mauldin, 2014 SCC 7, and in that case civil fraud is defined this way “… the tort of … Read More