The applicant sought to enforce an oral agreement made with his predeceased son, pursuant to which the applicant and his seriously ill wife transferred title of their home to the son in exchange for a life interest in the property and approximately $71,000 in cash, while conveying over $175,000 in equity.
The son died unexpectedly, and the estate subsequently ceased paying the mortgage and threatened to sell the property.
The court found that the agreement, though unwritten, was enforceable pursuant to the doctrine of part performance, as the extensive acts of performance by all parties were unequivocally referable to dealings with the land and established clear and irreversible detrimental reliance.
Enforcing the Statute of Frauds in these circumstances would have been unconscionable.
The court declared a binding life interest, ordered registration of an instrument on title reflecting the life interest, and awarded damages of $22,047.94 for mortgage and insurance payments the applicant was compelled to make during the estate's non-performance, on both contractual and unjust enrichment grounds.
Costs were fixed at $43,245.44, inclusive of disbursements and HST.
