The plaintiff, Lidia Kuleshnyk, brought a motion seeking an order to preserve future vendor take-back mortgage payments from the sale of property owned by the defendant, Herta Kuleshnyk, by having them paid into court.
The motion was brought pursuant to Rules 45.01 and 45.02 of the Rules of Civil Procedure.
The court applied the three-part test from Sadie Moranis Realty Corp. v. 1667038 Ontario Inc., finding that the plaintiff established a claim to a specific identifiable fund (future mortgage payments) and a serious issue to be tried regarding her entitlement under a 2009 agreement.
While there was no direct evidence of dissipation, the court found a real concern given the defendant's prior actions (reverse mortgage without knowledge).
The court ordered the final mortgage payment of approximately $1,581,000 due on April 8, 2019, to be paid into court, allowing the defendant to retain earlier payments and funds held in trust to manage tax obligations.
No costs were awarded as the result was divided.