Debtors and Creditors - Fraudulent Conveyances - Fraudulent intent
Deceased had credit card and loan debt with plaintiff bank. Approximately one month after plaintiff commenced action for payment, deceased transferred title of property owned by him to himself and common law wife as joint tenants. Wife then transferred title to herself by survivorship application. Bank amended claim to include wife in capacity as estate trustee and also in personal capacity, and sought declaration that conveyance of property was fraudulent. Bank brought motion for summary judgment. Motion granted. At time of transfer, deceased knew of his indebtedness to bank, and property was his only asset. Timing of transfer showed that it was related to debt and not just for estate planning purposes. Deceased intended to make collection of debt difficult. Transfer was fraudulent conveyance and was set aside.
RBC v. Scarborough (2019), 2019 CarswellOnt 8948, 2019 ONSC 3369, S. Lavine J. (Ont. S.C.J.).
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