
When is a Stranger a Constructive Trustee - A Critique of Recent Decisions
Author(s) -
Susan Barkehall Thomas
Publication year - 2001
Publication title -
alberta law review
Language(s) - English
Resource type - Journals
eISSN - 1925-8356
pISSN - 0002-4821
DOI - 10.29173/alr1412
Subject(s) - fiduciary , liability , context (archaeology) , constructive trust , duty , supreme court , constructive , law , law and economics , third party , sociology , political science , economics , business , process (computing) , paleontology , internet privacy , computer science , biology , operating system
This article explores the conceptual development of third party liability for participation in a breach of fiduciary duty. The author provides a critical analysis of the foundations of third party liability in Canada and chronicles the evolution of context-specific liability tests. In particular, the tests for the liability of banks and directors are developed in their specific contexts. The author then provides a reasoned critique of the Supreme Court of Canada's recent trend towards context-independent tests. The author concludes by arguing that the current approach is inadequate and results in an incoherent framework for the law of third party liability in Canada.