Valley Terminals & Warehousing Inc. v. Cornwall (City), (1997) 59 O.T.C. 69 (GD)

• Judge: Cusson, J.
• Court: Ontario Court of Justice General Division (Canada)
• Case Date: September 09, 1998
• Jurisdiction: Ontario
• Citations: (1997), 59 O.T.C. 69 (GD)

Valley Terminals v. Cornwall (1997), 59 O.T.C. 69 (GD)

MLB headnote and full text

Temp. Cite: [1998] O.T.C. TBEd. FE.188

Valley Terminals & Warehousing Inc. (applicant) v. The Corporation of the City of Cornwall (respondent)

(Court File No. 97-1168)

Indexed As: Valley Terminals & Warehousing Inc. v. Cornwall (City)

Ontario Court of Justice

General Division

Cusson, J.

September 9, 1997.

Summary:

The City of Cornwall claimed a lien on fire insurance proceeds payable to the respondent for arrears of municipal taxes and interest. The City claimed that the insurance proceeds were an "interest in land" that would attract a lien pursuant to s. 382 of the Municipal Act.

The Ontario Court (General Division) held that the proceeds of an insurance policy could not be included or interpreted as an "interest in land".

Municipal Law - Topic 2191

Municipal taxation or levies - Enforcement - Privilege or lien - See paragraphs 1 to 12.

Real Property Tax - Topic 8602

Tax liens - Application of statutory lien - See paragraphs 1 to 12.

Words and Phrases

Interest in land - The Ontario Court (General Division) held that the phrase "interest in land" in s. 382 of the Municipal Act, R.S.O. 1990, c. M-45, did not include the proceeds of an insurance policy - See paragraph 12.

Cases Noticed:

Polyco Window Manufacturing Ltd. v. Prudential Assurance Co. et al. (1994), 119 Sask.R. 131; 25 C.C.L.I.(2d) 58 (Q.B.), refd to. [para. 8].

Federal Business Development Bank v. Sun Alliance Insurance Co. et al. (1988), 36 C.C.L.I.(2d) 245, refd to. [para. 8].

Storrie v. Niagara-on-the-Lake (Town) (1996), 17 O.T.C. 161; 36 M.P.L.R.(2d) 245 (Gen. Div.), refd to. [para. 11].

Statutes Noticed:

Municipal Act, R.S.O. 1990, c. M-45, sect. 382 [para. 1].

Counsel:

Thomas R. Swabey, for the applicant;

John H. MacDonald, for the respondent.

This application was heard before Cusson, J., of the Ontario Court (General Division), who delivered the following judgment on September 9, 1998.