Background: Penelope Eileen Carley, the plaintiff, disputed the ownership of a one-fifth undivided interest in a 25-acre property on Cowichan Lake with her son, Terry Allen Birchard, and his wife, Dawn Louise MacKinnon Birchard, the defendants. The dispute originated from an alleged 2009 agreement on the sale of this interest.

Claims and Counterclaims: Penelope Carley claimed she owned half of the undivided two-tenths interest sold for $150,000. She sought a declaration of a resulting trust for this difference. The Birchards counterclaimed, alleging they purchased the entire interest for $150,000, intending that Ms. Carley hold it in trust for them and pass it on via joint tenancy.

Legal Issues: The primary legal issue was whether the statutory presumption of registered title reflecting legal and beneficial ownership had been rebutted by an oral agreement. The court also examined whether there was a resulting trust or unjust enrichment.

Findings: Justice Mayer found the statutory presumption rebutted. The court concluded that in 2009, Penelope Carley agreed to sell her entire undivided two-tenths interest for $150,000, retaining a lifetime use of the property. It was implied she would not transfer her interest to others and share common costs.

Conclusion: The court dismissed Penelope Carley's claim and declared the Birchards as the beneficial owners of the entire interest, with Penelope Carley holding her legal interest in trust for them. The amount of costs or award in favor of the Birchards was reserved for further submissions.