The judgment creditors appealed a master's order dismissing their motion to compel a corporate officer to attend an examination in aid of execution.
The master held that because the creditors had commenced a related action against the officer and others alleging fraudulent asset transfers, the right to conduct an examination in aid of execution had merged into the new action.
The court held that this principle applied only to examinations of third parties and not to examinations of a corporate judgment debtor through its officers under Rule 60.18(2) and (3) of the Rules of Civil Procedure.
The master therefore erred in law by concluding the creditors lost their entitlement to examine the corporate representative.
The appeal was allowed and an order was made requiring the officer to attend for examination in aid of execution.
