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ARTICLE · 05 AUGUST 2016

The Court Determines Where The Greatest Harm Lay

Gowling WLG
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Where owners of a property were appealing against an order that a creditor had a beneficial interest in their property (following a tracing claim).

CanadaInsolvency/Bankruptcy/Re-Structuring

Where owners of a property were appealing against an order that a creditor had a beneficial interest in their property (following a tracing claim), the court declined to order the sale of that property pending the hearing of the appeal.

In Hawk Recovery Ltd v Hall and others, the claimant was the assignee of a judgment against the defendants in favour of B. B, through various companies and assignees, had been engaged in a number of claims against the defendants who alleged he had a vendetta against them and which had been orchestrated for illegitimate purposes.

The defendants had been made bankrupt on B's petition following an unpaid costs order in another claim. Although they had been discharged, their assets remained vested in their trustee in bankruptcy.

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