Is not necessary for a party to impeach a conveyance to prove that it was not a creditor at the time of the conveyance?
Ontario, Canada
The following excerpt is from Indcondo v. Sloan, 2014 ONSC 4018 (CanLII):
Is also not necessary for a party, in attempting to impeach a conveyance, to demonstrate that it had an actual debt owing to it at the time of the conveyance. In Benyon v. Beynon, [2001] O.J. 3653, the court noted that “creditors and others” is broad enough to contemplate a person who, while not a creditor at the time of the conveyance, may become one in the future.
If there was an intention to defeat creditors, then it does not matter whether it was to defeat present or future creditors, see CIBC v. Boukalis 1987 CarswellBC 513 (B.C.C.A.). If an intent to defraud existed at the time of the conveyance, it does not matter that the person attacking it was not a creditor at the time, Iamgold v. Rosenfeld, [1998] O.J. 4690 (S.C.J.).
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