December 29, 2020 – Support and the Creditors’ Relief Act

Pursuant to section 2(3) of the Creditors’ Relief Act, 2010, S.O., c. 16, Sched. 4, s. 2(3), a support or maintenance order has priority over other judgment debts, other than debts owing to the Crown in right of Canada regardless of when an enforcement process is issued or served.  If the order requires periodic payments, the order has priority to the extent of all arrears owing under the order at the time of seizure or attachment.  If the order requires the payment of a lump sum, the order has priority to the extent of any portion of the lump sum that has not been paid.

In Taylor v. Taylor, 2002 CanLII 44981 (ON CA) the court held that the Creditors’ Relief Act was intended to protect support orders from the interests of other creditors by giving them priority over other judgment debts.

It has also been held that even though a valid writ on behalf of the support recipient was not filed until after the sale of the home, the Creditors’ Relief Act clearly gave her support order priority over all other judgments, regardless of when her enforcement process was issued: Herman v. Rathbone, 2000 CanLII 22321 (ON SC).”

Silver v. Silver et al, 2017 ONSC 7749 (CanLII) at 14-16