6.11: Evidence at application hearings

Case Summary

A Trustee in Bankruptcy sought to set aside an undervalue transfer pursuant to the Bankruptcy and Insolvency Act, RSC 1985, c B-3 (Act). The Bankrupt attempted to adduce unsworn opinion evidence, valuing a cabin in the Dominican Republic at $100,000; the Trustee attributed no value. With respect to unsworn opinion evidence before the Court, Master Schlosser stated that, although some informality is required under the Act, unsworn opinion evidence, or opinion evidence exhibited in an affidavit of someone other than an expert, is “inadmissible or virtually weightless”. Rule 6.11 permits sworn opinion evidence in support of an Application presumably without having to prove the qualification of an expert. Ultimately, the Trustee failed to prove a transfer at undervalue, and the Application was dismissed.

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