Gifts, Litigation Administrators, and Ethics: Another Successful Breakfast Seminar
Hull & Hull LLP hosted one of its Breakfast Seminars yesterday. As always, the seminar was informative and a fun opportunity for us to connect with our friends in the estates bar.
Nadia Harasymowycz presented her paper on the recent Ontario Court of Appeal decision in McNamee v. McNamee, 2011 ONCA 533 (“McNamee”). In McNamee, the Court of Appeal considered what constitutes a legally valid gift in the context of a family law matter. Nadia’s discussion of the case included the following observations:
- The decision provides needed clarity in respect of the essential elements of a legally valid gift and the process by which a gift is determined. This decision should be reviewed by not only those who focus their practice on family law issues, but also those who practice in estate planning and estate litigation.
- The Court confirmed that the essential elements of a legally valid gift are, as follows: There must be (1) an intention to make a gift on the part of the donor, without consideration or expectation of remuneration; (2) an acceptance of the gift by the donee; and (3) a sufficient act of delivery or transfer of the property to complete the transaction.
- The Court noted that a gift does not require that the donor’s intention be limited to altruism or affection. Rather, the Court confirmed that a gift may be equally motivated by commercial purposes, provided the transfer is gratuitous.
- The Court clarified that while a donee is required to have a general understanding of the transaction to meet the essential elements of a legally valid gift, a donee is not expected to understand the precise terms and conditions attached to the gift.
You can find a thorough consideration of the decision in Nadia’s paper, which will be available on our website soon.
David Smith also presented on the topic of litigation administrators and representation orders. Ian Hull and Suzana Popovic-Montag presented on ethical issues commonly faced by estate practitioners. Their papers will also be made available on our website.
Thank you to those who joined us yesterday. We look forward to seeing you at the next Breakfast Seminar.
Have a great weekend,
