Can a defendant borrow against the cash surrender value of an insurance policy to retain new legal counsel?
British Columbia, Canada
The following excerpt is from D.L.H. v. M.M.E.H., 2005 BCSC 129 (CanLII):
In Hiemstra v. Hiemstra, [2001] B.C.J. No. 522 Mr. Justice McEwan refused to permit the defendant to borrow against the cash surrender value of an insurance policy for purposes of retaining new legal counsel. He saw no material distinction between an interim distribution and borrowing against an asset.
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