The applicant, Ms. Cheng, sought to lift a stay of proceedings in Ontario to pursue claims for child support, spousal support, and equalization of net family property.
The respondent, Mr. Liu, had previously obtained a divorce in China after initiating proceedings there, which led to the Ontario action being stayed on condition of his cooperation in China.
Mr. Liu breached this condition by providing false financial disclosure to the Chinese court, which subsequently granted the divorce but explicitly declined jurisdiction over economic issues, deferring them to Canada.
The court found that it retained jurisdiction over the corollary relief, distinguishing the precedent of Okmyansky v. Okmyansky.
The decision emphasized that jurisdiction is determined at the commencement of proceedings, Mr. Liu's breach of conditions and fraudulent disclosure, China's explicit declination of jurisdiction, and the doctrine of forum of necessity.