On October 31, 2019, the Supreme Court of Canada issued its
decision in Threlfall v Carleton University, 2019 SCC 50,
dismissing an appeal from the Quebec Court of Appeal. Carleton
University successfully recovered $497,332.64 of pension payments
it had made in respect of a retiree, Mr. R, after his death.
While the decision is based on specific provisions of the
Civil Code of Quebec (“C.C.Q.”) and the
applicable pension plan, it provides some guidance for pension plan
administrators on death of beneficiaries and the ability to recover
overpayments:
- Entitlement to a pension benefit ends
on death, subject to the plan terms (e.g. survivor benefits).
- The person responsible for the
beneficiary's estate (e.g. the executor) may be held personally
liable for overpayments and be required to repay funds.
