How does a conveyance between a close relative and a creditor defeat the claim of creditors?

Alberta, Canada


The following excerpt is from Burton v. R & M Insurance Ltd., 1977 CanLII 626 (AB QB):

Another rule which applies to conveyances between close relatives which have the effect of defeating the claims of creditors is that the onus of establishing the validity of the transaction is upon the parties upholding it: Koop v. Smith (1915), 1915 CanLII 26 (SCC), 51 S.C.R. 554, 8 W.W.R. 1203, 25 D.L.R. 355.

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