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John Polyzogopoulos

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John has been the editor of Blaneys Appeals since the inception of the blog in the Summer of 2014. He is a partner at the firm with over two decades of experience handling a wide variety of litigation matters. John assists clients with matters ranging from appeals, to injunctions, to corporate, partnership, breach of contract, construction, environmental contamination, product liability, debtor-creditor, insolvency and other business litigation. He also handles complex estates and matrimonial litigation involving disputes over property and businesses, as well as professional discipline and professional negligence matters for various types of professionals. In addition, John represents amateur sports organizations in contentious matters, and also advises them in matters of internal governance. John can be reached at 416-593-2953 or jpolyzogopoulos@blaney.com.

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Jump To: Table of Contents | Civil Decisions | Criminal Decisions

Good evening.

Following are the summaries of this week’s civil decisions of the Court of Appeal for Ontario.

In Canada Life Insurance Company of Canada v Canada (Attorney General), Canada Life and some of its affiliates carried out a series of purely tax-driven transactions. The purpose of the Transactions was to realize a $168 million tax loss (without having suffered an economic loss in that amount) to offset unrealized foreign exchange gains accrued in the same taxation year. This would avoid paying millions of dollars in tax to CRA. The CRA disallowed the claimed loss in a reassessment. Asserting that it had proceeded on the basis of erroneous advice from its tax advisor, Canada Life applied to the Superior Court for an order setting aside the Transactions and replacing them with other steps that would permit it to enjoy the intended tax benefit, retroactive to the date of the original Transaction. The application was opposed by the CRA, represented by the Attorney General. The application judge, Pattillo J., granted the order requested by Canada Life. The Court of Appeal allowed CRA’s appeal and dismissed Canada Life’s cross-appeal for alternative relief. The Court followed the Supreme Court’s decision in Fairmont Hotels, which restated the test for rectification, and this situation did not meet that test, as there was no “agreement” to be rectified. The Court dismissed the alternative relief sought by Canada Life, stating that it will not exercise inherent or equitable jurisdiction to undo tax-driven transactions just because they do not yield the desired tax consequences. It was noted that Canada Life had alternative remedies available, including a tax appeal and possible E&O claim against its tax advisers.Continue Reading COURT OF APPEAL SUMMARIES (JUNE 18 – 22)