The plaintiff brought a civil action arising from real estate transactions involving two properties and agreements with a development company.
The court considered whether an agreement relating to the plaintiff’s interest in one property had been fulfilled and whether the defendant corporation was obligated to indemnify the plaintiff for liabilities arising from a mortgage and overdraft related to another property held in trust.
The court held that claims relating to the first property were barred by the Limitations Act, 2002 and failed.
However, the court found the plaintiff held the second property as bare trustee for the corporate defendant pursuant to a declaration of trust containing an indemnity clause.
The corporate defendant was therefore liable to indemnify the plaintiff for payments made toward a deficiency judgment and overdraft judgment arising from the mortgage obligations.
