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ARTICLE · 18 SEPTEMBER 2026

Court Of Appeal Summaries (August 31 – September 4)

Blaney McMurtry LLP
Blaney McMurtry LLP
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This weekly summary provides comprehensive analysis of civil law decisions from the Ontario Court of Appeal for August 31 to September 4, 2026. The featured cases examine critical issues including distribution orders in investment fraud cases, purchase money resulting trusts, and the enforceability of temporary lay-off clauses in employment agreements.

CanadaLitigation, Mediation & Arbitration
John Polyzogopoulos
John Polyzogopoulos
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Following are our summaries of the civil decisions of the Court of Appeal for Ontario for the week of August 31, 2026.

In Caroti v. Vuletic, the Court allowed an appeal seeking to set aside a distribution order regarding the recovery of misappropriated/mismanaged investor funds in a housing development project. There, certain groups of investors had taken their claim as against the defendants to trial, whereas others had settled with the defendants. However, the terms of the settlement agreements, including the monetary payments thereunder, were unfulfilled at the time of trial. The distribution order made at the conclusion of trial would have excluded the settling parties, and distributed funds to only those parties that had taken their claim to trial. The Court held that trial judge had erred in making the distribution order, and that the money paid by the settling parties towards the property were being held in resulting trust on their behalf. Moreover, as the amounts owing under

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