This motion determined priority between creditors following a judicial sale of a residential property.
Pollard Windows Inc., a construction lien claimant, sought priority over 1746878 Ontario Inc., an assignee of a mortgage.
The court found that the mortgage held by 1746878 Ontario Inc. was a fraudulent conveyance, part of a scheme by the controlling individual (Andrew Ferri) and related entities to defeat creditors.
The court rejected 1746878 Ontario Inc.'s claims of priority, finding that the alleged notice of sale was invalid, it failed to prove any actual advances under the mortgage, and the transaction bore numerous badges of fraud.
Pollard Windows Inc. was granted priority for its judgment and costs.
