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52 MANITOBA LAW JOURNAL |VOLUME 35 NUMBER 1 surely the sale could have been arrived at by mutual agreement without a court order. As it transpired, the Court was determined to end the dispute by a formal order for sale, and showed itself capable of paying a high price, in terms of disrupting the law of concurrent ownership as long understood, 5 to bring about that result. In hindsight, some would suggest that the Court might more humanely have refused both combatants the orders they sought, and left it to Death to bring an end to their quarrels. All the foregoing, though not I hope without interest, is straightforward enough. It is when we come to examine how the Court of Appeal, having declined to authorize a mortgage for Mr. Chupryk, justified the order for sale, sought by Mrs. Haykowski, that the real anfractuosities of the Court’s reasoning come to the fore. III. THE SEEDS OF CONFUSION In concluding that the powers conferred by the Trustee Act 6 were no longer available to it in the circumstances, the Court had denied to itself not only the ability to authorize Mr. Chupryk’s mortgage, which in truth it had no desire to do; but also the most obvious and direct basis for granting Mrs. Haykowski’s order of sale. Casting about for some juridical basis for making such an order, and avowedly renouncing 7 any temptation to administer “palm tree justice”, their eyes turned to the possibility that use might be made of what they termed the “Settled Lands Acts”. In the end, they determined that they could not do so, but their efforts in this context were to my mind unfortunate, and have generated misconceptions which still persist. Towards the close of his concurring judgment in Chupryk, O’Sullivan JA wrote these words: There is no doubt that the inability of a tenant for life to raise money for improvements may work a hardship, not only on the tenant for life, but also on the remainderman and, in some cases, others. No one can benefit from a situation where property is allowed to deteriorate and run down. In England, this problem has been dealt with in a series of statutes. The Settled Lands Acts recognize land held in succession as settled land and authorize the tenant in possession to raise money for improvements, sometimes on his own authority and sometimes with the approval of the court. Ontario and British Columbia have enacted Settled Lands Acts to achieve the same purpose, but Manitoba has no Settled 5 6 7 Canada (supra note 1, (1980) 33 NR 622 (Martland, Ritchie and Estey JJ) and see Supreme Court of Canada, Bulletin of Proceedings of the Supreme Court of Canada, Oct 10 1980 (Ottawa: SCC, 1980), p 31). This proved to be the end of the saga, for after this final but hollow victory for Michael Chupryk, which seems largely to have escaped notice in the textbooks, his litigation career goes “off the radar”. See the article “A House Divided, etc”, presented later in this volume of the journal. The Trustee Act, CCSM c T160, s 58 (1) [then s 60 (1)]. Supra note 1 at para 58.
Unsettled Estates 53 Lands Act. This does not mean that in Manitoba there is no relief for a tenant who cannot economically sustain a life interest. I agree with my brother Matas that the Law of Property Act, CCSM, c L90, covers successive interests, as well as concurrent interests, in land. 8 There are mysteries here, and arguably misapprehensions too. Why, one wonders, is O’Sullivan JA (and Matas JA too) so preoccupied with the English Settled Lands (sic) Acts Was it merely a gesture of respect to the argument of Mr. Green, counsel for Mr. Chupryk, who had somehow incorporated in his argument reasoning founded on the English Settled Land Act of 1882 9 Perhaps counsel intended, by adverting to this imaginative and bold piece of English legislation, to incite the Court of Appeal to craft (as Kroft J had done in the Court below) an equally progressive solution in Manitoba, by judicial fiat If so, he was to be disappointed as I have already explained. What in fact the Court of Appeal did was to turn the absence of the 1882 legislation in Manitoba into a more sweeping assertion – that “Manitoba has no Settled Lands 10 Act” – and present that assertion in such a way as to imply that Manitoba was in some way uniquely disadvantaged by this lacuna in its statute-book. It is my position in this paper that any such assertions are demonstrably wrong. IV. SETTLED ESTATES AND SETTLED LAND When O’Sullivan JA states, in the above-quoted passage, that “Manitoba has no Settled Lands Act,” his words are literally true. Manitoba has never had a statute of that name. Nor has any other Canadian province, so far as I am aware. The English statutes bearing that title – both the Settled Land Act of 1882, and the climactic Settled Land Act of 1925 11 – have been the object of sometimes wistful academic commentary in Canada, but have never been fully adopted in any Canadian jurisdiction. As Professor Waters put it, “The Settled Land Acts of 1882 and 1925 in England never came to Canada.” 12 So Manitoba is hardly unique in not having a statute by that name. However, O’Sullivan JA’s assertion, in the same sentence, that Ontario and British Columbia “have enacted Settled Lands Acts” throws some light on what he is really trying to say. So do his perceptions, expressed in that same paragraph, as to what a proper “Settled Land Act” does, what its functions are. It seems that when O’Sullivan JA refers to “Settled Land” legislation, he is using the expression in a loose or generic sense, rather than as a more meticulously historic (or more pedantic) commentator might do. He is, it seems, using the “Settled Land Act” label to embrace a whole procession of 8 9 10 11 12 Ibid at para 60. Settled Land Act, 1882 (UK), 45 & 46 Vict, c 38. More properly termed a “Settled Land Act”. Settled Land Act, 1925 (UK), 15 & 16 Geo V, c 18. Donovan Waters, Mark Gillen and Lionel Smith, Waters’ Law of Trusts in Canada, 3d ed (Toronto, Ont: Thomson Carswell, 2005) at p 1087.
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52 MANITOBA LAW JOURNAL |VOLUME 35 NUMBER 1<br />
surely the sale could have been arrived at by mutual agreement without a court<br />
order. As it transpired, the Court was determined to end the dispute by a formal<br />
order for sale, and showed itself capable <strong>of</strong> paying a high price, in terms <strong>of</strong><br />
disrupting the law <strong>of</strong> concurrent ownership as long understood, 5 to bring about<br />
that result. In hindsight, some would suggest that the Court might more<br />
humanely have refused both combatants the orders they sought, and left it to<br />
Death to bring an end to their quarrels.<br />
All the foregoing, though not I hope without interest, is straightforward<br />
enough. It is when we come to examine how the Court <strong>of</strong> Appeal, having<br />
declined to authorize a mortgage for Mr. Chupryk, justified the order for sale,<br />
sought by Mrs. Haykowski, that the real anfractuosities <strong>of</strong> the Court’s reasoning<br />
come to the fore.<br />
III.<br />
THE SEEDS OF CONFUSION<br />
In concluding that the powers conferred by the Trustee Act 6 were no longer<br />
available to it in the circumstances, the Court had denied to itself not only the<br />
ability to authorize Mr. Chupryk’s mortgage, which in truth it had no desire to<br />
do; but also the most obvious and direct basis for granting Mrs. Haykowski’s<br />
order <strong>of</strong> sale. Casting about for some juridical basis for making such an order, and<br />
avowedly renouncing 7 any temptation to administer “palm tree justice”, their eyes<br />
turned to the possibility that use might be made <strong>of</strong> what they termed the “Settled<br />
Lands Acts”. In the end, they determined that they could not do so, but their<br />
efforts in this context were to my mind unfortunate, and have generated<br />
misconceptions which still persist.<br />
Towards the close <strong>of</strong> his concurring judgment in Chupryk, O’Sullivan JA<br />
wrote these words:<br />
There is no doubt that the inability <strong>of</strong> a tenant for life to raise money for improvements<br />
may work a hardship, not only on the tenant for life, but also on the remainderman and,<br />
in some cases, others. No one can benefit from a situation where property is allowed to<br />
deteriorate and run down. In England, this problem has been dealt with in a series <strong>of</strong><br />
statutes. The Settled Lands Acts recognize land held in succession as settled land and<br />
authorize the tenant in possession to raise money for improvements, sometimes on his own<br />
authority and sometimes with the approval <strong>of</strong> the court. Ontario and British Columbia<br />
have enacted Settled Lands Acts to achieve the same purpose, but Manitoba has no Settled<br />
5<br />
6<br />
7<br />
Canada (supra note 1, (1980) 33 NR 622 (Martland, Ritchie and Estey JJ) and see Supreme Court<br />
<strong>of</strong> Canada, Bulletin <strong>of</strong> Proceedings <strong>of</strong> the Supreme Court <strong>of</strong> Canada, Oct 10 1980 (Ottawa: SCC,<br />
1980), p 31). This proved to be the end <strong>of</strong> the saga, for after this final but hollow victory for<br />
Michael Chupryk, which seems largely to have escaped notice in the textbooks, his litigation<br />
career goes “<strong>of</strong>f the radar”.<br />
See the article “A House Divided, etc”, presented later in this volume <strong>of</strong> the journal.<br />
The Trustee Act, CCSM c T160, s 58 (1) [then s 60 (1)].<br />
Supra note 1 at para 58.