The residence of trusts and other business entities for income tax purposes has long been a source of confusion. The Supreme Court of Canada will attempt to resolve that confusion in the St. Michael Trust cases, from which it recently granted leave to appeal.
The cases arise as conjoined appeals from the decision of the Federal Court of Appeal in St. Michael Trust Corp. v. Canada (sub nom. Garron (Trustee of) v. Canada). In both cases, the applicant was a Barbados-resident corporation that was the trustee of a trust with Canadian beneficiaries, which was settled by … Continue Reading
The decision in Automobile Cordiale Ltée v. DaimlerChrysler Canada Inc., J.E. 2010-164 raises the question of the implicit obligation of good faith and loyalty in an exclusive dealership contract.
Automobile Cordiale Ltée (the Franchisee) and DaimlerChrysler Canada Inc. (the Franchisor) entered into an agreement in 1994 whereby the Franchisee was granted exclusive right to sell and lease Jeep and Eagle vehicles in the city of St-Jérôme. Between 1996 and 2003, three dealerships located near St-Jérôme sold and leased Jeep vehicles although they had no rights with respect to the Jeep banner. The Franchisee advised the Franchisor of such behaviour … Continue Reading
Taylor Processing Inc. applied for various approvals from the Energy Resources Conservation Board to operate a co-stream project at its Harmattan plant. Inter Pipeline Fund and BP Canada Energy Company were interveners. Both the Fund and BP opposed Taylor’s application. The Board gave conditional approval to Taylor’s project. This appeal will determine whether the Board gave adequate reasons when assessing the evidence, and whether the Board breached its duty of procedural fairness.
BP and the Fund were permitted to submit information requests to Taylor. The responses from Taylor were inadequate and some answers indicated that Taylor did not … Continue Reading