Legal Blog

Mareva Injunction

Sapex Canada Inc. v. 2264233 Ontario Inc. 2022 Ont SCJ

Landlord was suing tenant and indemnifier for damages for breach of a lease. The indemnifier bought a house and was selling her old house in the ordinary course. It was expected she would net about $20,000 from the sale. Landlord moved for a Mareva injunction. The judge agreed that he had jurisdiction to issue an injunction under the Simplified Rues, but held that the balance of convenience favoured the indemnifier. There was no genuine risk of the indemnifier putting her assets beyond the reach of the landlord. She had equity in the new house and the corporate tenant was still a going concern.

Written by Jonathan Speigel, the founding partner of Speigel Nichols Fox LLP, leads the litigation and construction practices.