Lou-Anne Frances Farrell

The appellants, majority shareholders of a family company, appealed a trial judgment finding them liable for oppression and breach of trust against the minority shareholders.

The trial judge found they breached their fiduciary duties by purchasing their sisters' shares and by paying themselves excessive management compensation.

The Court of Appeal allowed the appeal in part, finding no breach of trust in the share purchase given the company's precarious financial position at the time and the minority's failure to complain.

However, the Court upheld the finding that the retroactive management compensation was oppressive and excessive.

The cross-appeal was allowed in part to award prejudgment interest on the excessive compensation.

The appellant challenged a trial judgment in a wills and estates dispute, arguing that the trial judge implicitly found testamentary capacity but improperly shifted the burden of proof on undue influence.

The Court of Appeal declined to comment on capacity and held that the trial judge reached the correct conclusion on undue influence.

The court further held that, even if there had been a burden-shifting error, the evidence overwhelmingly supported the finding of undue influence.

The appeal was dismissed, with all parties entitled to their costs of the appeal out of the estate.