Balnar et al. v. Syed et al., (1998) 76 O.T.C. 45 (GD)

• Judge: T.D. Marshall, J.
• Court: Ontario Court of Justice General Division (Canada)
• Case Date: July 06, 1998
• Jurisdiction: Ontario
• Citations: (1998), 76 O.T.C. 45 (GD)

Balnar v. Syed (1998), 76 O.T.C. 45 (GD)

MLB headnote and full text

Temp. Cite: [1998] O.T.C. TBEd. OC.037

Grace Balnar, Frank Balnar, Heather Loucks, William Loucks, Frank Tlalka, Stephen Tlalka, Lewis Venture Capital Corporation and Balnar Management Ltd. (plaintiffs) v. Akhtar Mahmood Syed, Amina Syed, Zenaida Mauricio, National Trust Company and Zafar Mahmood Syed (defendants)

(Court File No. 1234/92)

Indexed As: Balnar et al. v. Syed et al.

Ontario Court of Justice

General Division

Kitchener

T.D. Marshall, J.

July 6, 1998.

Summary:

The plaintiff creditors sought to set aside certain conveyances and mortgages of lands made by the defendant Syed in favour of his two spouses and his son as being contrary to provisions of the Bankruptcy and Insolvency Act, or alternatively, provincial legislation.

The Ontario Court (General Division) granted a declaration that the mortgages and conveyances to Syed's spouses and son were void as against Syed's creditors and were set aside.

Bankruptcy - Topic 7212

Setting aside transactions prior to bankruptcy - Fraudulent preferences - What constitutes a fraudulent preference - See paragraphs 32 to 33.

Bankruptcy - Topic 7223

Setting aside transactions prior to bankruptcy - Fraudulent preferences - Transfers to related persons - See paragraphs 32 to 33.

Bankruptcy - Topic 7322

Setting aside transactions prior to bankruptcy - Settlements - Void settlements - See paragraphs 6 to 31.

Trusts - Topic 1907

Resulting trusts - Circumstances when not imposed - See paragraphs 34 to 37.

Trusts - Topic 2310

Constructive trusts - Circumstances when not imposed - See paragraphs 38 to 48.

Cases Noticed:

Goertz (Bankrupt) v. Goertz et al. (1994), 122 Sask.R. 93; 26 C.B.R.(3d) 222 (Q.B.), affd. (1995), 137 Sask.R. 267; 107 W.A.C. 267 (C.A.), refd to. [para. 7, footnote 1].

Shickele, Re (1977), 25 C.B.R.(N.S.) 67 (B.C.S.C.), refd to. [para. 13, footnote 2].

Courtesy Chevrolet Oldsmobile Ltd. et al. v. Dhaliwal et al. (1987), 67 C.B.R.(N.S.) 72 (Ont. H.C.), appld. [para. 24, footnote 4].

Rathwell v. Rathwell, [1978] 2 S.C.R. 436; 19 N.R. 91; 83 D.L.R.(3d) 289; [1978] 2 W.W.R. 101; 1 E.T.R. 307; 1 R.F.L.(2d) 1, refd to. [para. 34, footnote 6].

International Corona Resources Ltd. v. LAC Minerals Ltd., [1989] 2 S.C.R. 574; 101 N.R. 239; 36 O.A.C. 57; 61 D.L.R.(4th) 14; 35 E.T.R. 1, refd to. [para. 39].

Barnabe et al. v. Touhey et al. (1995), 37 C.B.R.(3d) 73 (Ont. C.A.), refd to. [para. 46].

Counsel:

Not disclosed.

This action was heard by T.D. Marshall, J., of the Ontario Court (General Division), who delivered the following judgment on July 6, 1998.