Canada: Trusts

A British Columbia Court of Appeal decision demonstrates that executors who pursue litigation primarily for their own benefit rather than the estate's interests may face personal liability for costs...

A Panama-based trust with a Quebec contributor faced federal surtax and denied provincial abatement despite paying Quebec tax, creating a situation where it was taxed as residing nowhere in Canada. The Tax Court dismissed the appeal, calling the outcome unfair but mechanically required by statute, illustrating how some tax disputes are predetermined by clear statutory language regardless of perceived unfairness.

When family members enter informal property arrangements—such as holding title for a relative who cannot qualify for a mortgage—these verbal agreements can function smoothly for years until circumstances shift and disputes emerge. A recent Ontario Superior Court decision examines how courts may enforce these unwritten trust arrangements over real property, even when no formal documentation exists, and what evidence is necessary to establish beneficial ownership despite the absence of written agr

Canadian income tax law does not prohibit Canadian residents from using offshore entities or structures. What it does prohibit—explicitly and deliberately—is the deferral of Canadian tax on passive or investment income through foreign intermediaries.

Navigating the complexities of identifying parties in commercial real estate transactions requires careful attention to legal and commercial risks. From verifying contractual capacity to managing assignment rights, understanding these critical elements can prevent costly surprises and ensure enforceability of purchase and sale agreements.

A British Columbia court case examines how ambiguous language in a purpose trust created to fund educational expenses led to litigation when trustees needed judicial direction on whether boarding school costs...

Succession planning is not a one-and-done conversation for business owners. Much like the work of building the actual business, it is an ongoing, sometimes shifting, process.

On July 4, 2025, the Federal Court of Appeal (the Court) released its long-awaited decision in The RRSP of James T. Grenon by its trustee CIBC Trust Corporation v. His Majesty the King (Grenon).

It is a fact of life that every business owner must exit their business eventually, whether in retirement or on death.